Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina

In this study, we examine the impact of eight minimum wage increases in Argentina during the early 21st century by analyzing administrative records of registered employment. Utilizing a regression discontinuity design, we compare job separation rates between a group affected by the minimum wage hike...

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Autores principales: Abbate, Nicolás, Jiménez Silva, Bruno Tibaldo
Formato: Articulo Documento de trabajo
Lenguaje:Inglés
Publicado: 2023
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Acceso en línea:http://sedici.unlp.edu.ar/handle/10915/149561
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spelling I19-R120-10915-1495612023-05-12T12:40:35Z http://sedici.unlp.edu.ar/handle/10915/149561 issn:1853-0168 Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina Abbate, Nicolás Jiménez Silva, Bruno Tibaldo 2023-02 2023-03-03T11:59:11Z en Ciencias Económicas Minimum wage Regression discontinuity design In this study, we examine the impact of eight minimum wage increases in Argentina during the early 21st century by analyzing administrative records of registered employment. Utilizing a regression discontinuity design, we compare job separation rates between a group affected by the minimum wage hikes and a control group slightly out of their legal scope. We show that this method improves upon previous methods by reducing the likelihood of Type-I error. Overall, we find that the minimum wage hikes had no significant effect on job separation rates. However, the increases implemented in 2008 resulted in a decrease of 4.8 percentage points (19%) in separations, indicating that the employment effects of minimum wages may not necessarily lead to job loss. Centro de Estudios Distributivos, Laborales y Sociales Articulo Documento de trabajo http://creativecommons.org/licenses/by/4.0/ Creative Commons Attribution 4.0 International (CC BY 4.0) application/pdf
institution Universidad Nacional de La Plata
institution_str I-19
repository_str R-120
collection SEDICI (UNLP)
language Inglés
topic Ciencias Económicas
Minimum wage
Regression discontinuity design
spellingShingle Ciencias Económicas
Minimum wage
Regression discontinuity design
Abbate, Nicolás
Jiménez Silva, Bruno Tibaldo
Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina
topic_facet Ciencias Económicas
Minimum wage
Regression discontinuity design
description In this study, we examine the impact of eight minimum wage increases in Argentina during the early 21st century by analyzing administrative records of registered employment. Utilizing a regression discontinuity design, we compare job separation rates between a group affected by the minimum wage hikes and a control group slightly out of their legal scope. We show that this method improves upon previous methods by reducing the likelihood of Type-I error. Overall, we find that the minimum wage hikes had no significant effect on job separation rates. However, the increases implemented in 2008 resulted in a decrease of 4.8 percentage points (19%) in separations, indicating that the employment effects of minimum wages may not necessarily lead to job loss.
format Articulo
Documento de trabajo
author Abbate, Nicolás
Jiménez Silva, Bruno Tibaldo
author_facet Abbate, Nicolás
Jiménez Silva, Bruno Tibaldo
author_sort Abbate, Nicolás
title Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina
title_short Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina
title_full Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina
title_fullStr Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina
title_full_unstemmed Do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in Argentina
title_sort do minimum wage hikes lead to employment destruction?: evidence from a regression discontinuity design in argentina
publishDate 2023
url http://sedici.unlp.edu.ar/handle/10915/149561
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