Effect of Minimum Wage on Changes in the Thai Labor Market

Warut Samart and Weerachart Kilenthong

No 137, PIER Discussion Papers from Puey Ungphakorn Institute for Economic Research

Abstract: This paper estimates the effect of real minimum wage on wage, labor income, total compensation, overtime income, working hours and dis-employment using individual level panel data, created from the matched-outgoing rotation group (matched-ORG) of the Labor Force Survey of Thailand between 2002 to 2013. We found that a hike in real minimum wage was accompanied by an increase in real wage and real total compensation. During the gradual-decline period (2002–2011), the effect of real minimum wage on real labor income, real overtime income, working hours and dis-employment are not significant, negatively significant, negatively significant and positively significant, respectively. On the other hand, during the big-jump period (2012–2013), the effect of real minimum wage on real labor income, real overtime income, working hours and dis-employment are positive significant, not significant, positively significant and negatively significant, respectively.

Keywords: Minimum Wage; Earnings; Labor Force Participation; Dis-employment; Matched-ORG (search for similar items in EconPapers)
JEL-codes: D59 E24 J21 J64 (search for similar items in EconPapers)
Pages: 22 pages
Date: 2020-05, Revised 2021-12
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.pier.or.th/files/dp/pier_dp_137.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pui:dpaper:137

Ordering information: This working paper can be ordered from
https://www.pier.or.th/en/dp/137/

Access Statistics for this paper

More papers in PIER Discussion Papers from Puey Ungphakorn Institute for Economic Research Contact information at EDIRC.
Bibliographic data for series maintained by ().