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Direct linkVogel, Jonathan – National Bureau of Economic Research, 2023
What is the impact of the minimum wage on the college wage premium? I show that job-ladder models imply that the effect should be small on impact--raising only the wages of workers bound by the minimum wage--and grow over time as workers slowly move up the job ladder. Guided by my theory, I present evidence that these dynamic effects are present…
Descriptors: Minimum Wage, Wages, Salary Wage Differentials, Labor Market
Sutch, Richard – National Bureau of Economic Research, 2010
Neglected, but significant, the long-run consequence of the minimum wage--which was made national policy in the United States in 1938--is its stimulation of capital deepening. This took two forms. First, the engineered shortage of low-skill, low-paying jobs induced teenagers to invest in additional human capital--primarily by extending their…
Descriptors: Minimum Wage, Human Capital, Educational Experience, Enrollment
