The economic debate over the minimum wage, explained
The economic debate over the minimum wage, explained
- November 20, 2019
- David Neumark, economics, Vox, Nov. 20, 2019
When modern minimum wage research began in the 1990s, there were two dominant approaches.
One approach, pioneered by [David] Card and [Alan] Krueger, compared border counties
in neighboring states, one of which increased the minimum wage and one of which didn’t.
The other, used by UC Irvine’s David Neumark and the Fed Board of Governors’ William
Wascher, tracked employment in full states over time, to see if employment fell in
the wake of a minimum wage increase. The two methodologies tended to get different
results: Card and Krueger, of course, found no employment effects, while Neumark and
Wascher tended to find substantial job loss following minimum wage increases.
For the full story, please visit https://www.vox.com/future-perfect/2019/11/20/20952151/should-minimum-wage-be-raised.
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