Journal Article

The minimum wage and the labor market


Abstract: New models of employment show that there are some cases in which a minimum wage can have positive effects on employment and social welfare. The effects depend ultimately on the prevailing market wage and the frictions in the market. Evidence to date does not support the view that raising the minimum wage will lead to positive employment effects.

Keywords: Labor market; Minimum wage;

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File(s): File format is text/html https://doi.org/10.26509/frbc-ec-20070501
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Bibliographic Information

Provider: Federal Reserve Bank of Cleveland

Part of Series: Economic Commentary

Publication Date: 2007

Issue: May

Order Number: 1