We reassess the effect of minimum wages on US earnings inequality using additional decades of data and an IV strategy that addresses potential biases in prior work. We find that the minimum wage reduces inequality in the lower tail of the wage distribution, though by substantially less than previous estimates, suggesting that rising lower tail inequality after 1980 primarily reflects underlying...

We utilise a rich set of regional labour market variables to explain regional variation in Norwegian manufacturing wages. In particular, regional indicators of labour market conditions are computed from survey data in which respondents are asked to evaluate local employment opportunities. We find that average reported satisfaction with local job prospects and other survey-based indicators perfo...

Big Fish in Small Pond or Small Fish in Big Pond? An Analysis of Job Mobility The statement that individuals care for status and for their position within a hierarchy has been subject to sparse economic analysis. I check this assertion by analyzing wages and status within the firm, with status measured as the worker rank in the firm wage hierarchy. More precisely, I focus on worker mobility bet...

The prevailing labor market models assume that minimum wages do not affect the labor supply schedule. We challenge this view in this paper by showing experimentally that minimum wages have significant and lasting effects on subjects’ reservation wages. The temporary introduction of a minimum wage leads to a rise in subjects’ reservation wages which persists even after the minimum wage has been ...

This paper looks at male wage inequality in the United Kingdom across industries and regions over a fifteen year period. After controlling for the heterogeneity of productivity characteristics across the population, that part of wage inequality which cannot be explained by observable worker characteristics is examined. This is undertaken at both the industry and regional level to assess the key...