Determinants of Provincial Minimum Wages

LITERATURE REVIEW From Vaughan Dickson and Tony Myatt, The Determinants of Provincial Minimum Wages in Canada, daybook of Labor Research 23 (2002), 57-68: In the last few years, prompted largely by the work of Card and Kruger (1995), numerous articles on the employment effects of nominal profit legislation give appeared. This renewed interest in how minimum plights hazard employment leads naturally to another mind: What factors determine the minimum wage? Despite the ubiquity of minimum wage legislation, this question has received surprisingly little attention. One reason whitethorn be that in the U.S. the minimum wage is legislated at the national official rather than at the state level of government. Since this federal wage changes further occasionally, most U.S. studies allow been limited to cross-sectional studies that management on how the characteristics of the states, and the party affiliation of legislators, influence the vote on proposed changes in the federal minimum wage (Silberman and Durbin, 1970; Kau and Rubin, 1978; Bloch, 1980; Seltzer, 1995).[1] However, as pointed erupt by Baker et al.

(1999), Canada offers some unique advantages for minimum wage studies: Since the Canadian minimum wage is under provincial, not federal jurisdiction, there has been substantial variation in the level and measure of changes in the wage across provinces, thus providing the opportunity to research a relatively rich panel data set. To date, only one... study (Blais et al., 1989) has investigated the determinants of provincial minimum wages using a pooled data set extending across eight years (1975 to 1982) and nightclub provinces.... As noted, U.S. studies have usually been cross sectional and have examined what variables influenced congressional voting for increases in the federal minimum wage.[3] For example, Bloch (1993) link state wage levels and proportions of unionized employees to votes by senators to amend the 1977 and 1989 national Labor Standards Act and thereby increase the minimum... If you want to line up a full essay, order it on our website: Orderessay

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