CEU Electronic Theses and Dissertations, 2017
| Author | Serbulova, Vanda |
|---|---|
| Title | Minimum wage policy and its effect on employment in European countries |
| Summary | Minimum wage policy is very controversial topic for policy makers to reduce income inequality and ensure decent living conditions for low-wage workers. In recent years, the minimum wage has an increasing pattern in most European countries and the debate centers on whether this increase affects employment and causes job loss. The evidence, apart from the theory suggest no or very small effect on total employment, but in some cases, significant effect on youth employment. The purpose of this thesis is to estimate the effect of the minimum wage on total employment, employment for three groups divided by age and also gender across the countries of the European Union, taking into account potential non-linearity. The effect on employment for workers from oldest group is expected to be negative as the impact of employment affects not only low-skilled but also less productive workers. The analysis considers 16 European OECD countries with different level of economy. Model includes productivity and hiring costs index, and controls for unemployment rate, business cycle and secondary school enrolment. Thesis brings together theoretical and empirical aspects of the effect of the minimum wage legislation on employment. |
| Supervisor | Romhányi, Balázs |
| Department | Economics MA |
| Full text | https://www.etd.ceu.edu/2017/serbulova_vanda.pdf |
Visit the CEU Library.
© 2007-2021, Central European University