Minimum wages and insurance within the firm


Adamopoulou, Effrosyni ; Manaresi, Francesco ; Rachedi, Omar ; Yurdagul, Emircan


[img] PDF
dp24021.pdf - Published

Download (821kB)

URN: urn:nbn:de:bsz:180-madoc-675297
Document Type: Working paper
Year of publication: 2024
The title of a journal, publication series: ZEW Discussion Papers
Volume: 24-021
Place of publication: Mannheim
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: E24 , E25 , E64 , J31 , J38 , J52,
Keywords (English): Firm productivity shocks , pass-through , employer-employee data , skill complementarities , incomplete-market model
Abstract: Minimum wages generate an asymmetric pass-through of firm shocks across work- ers. We establish this result leveraging employer-employee data on Italian metal- manufacturing firms, which face different wage floors that vary within occupa- tions. In response to negative firm productivity shocks, workers close to the wage floors experience higher job separations but no wage loss. However, the wage of high-paid workers decreases, and more so in firms with higher incidence of min- imum wages. A neoclassical model with complementarities across workers with different skills rationalizes these findings. Our results uncover a novel channel that tilts the welfare gains of minimum wages toward low-paid worker




Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




Metadata export


Citation


+ Search Authors in

+ Download Statistics

Downloads per month over past year

View more statistics



You have found an error? Please let us know about your desired correction here: E-Mail


Actions (login required)

Show item Show item