Sentence examples for minimum wage variation from inspiring English sources

Thus, federal minimum variation is not swept out by the period fixed effects, and therefore the cross-border minimum wage variation will be correlated with the actual state minimum wage variation.

Based on the equations above, ADRZ argue that federal minimum wage variation is irrelevant and cannot be contaminating the falsification experiment.19 However, this is not true.

They argue that their evidence establishes that the standard panel data estimator fails this test, exhibiting disemployment effects of minimum wages when there is no minimum wage variation.

The language is a little imprecise, but their argument must be that the federal minimum wage variation is completely absorbed in the period fixed effects, and therefore there is no remaining minimum wage variation in the placebo sample to be "predicted" by the federal minimum wage.

We think the best study in this vein is the one by Baskaya and Rubinstein (2012), which uses an instrumental variable that relies on federally-induced minimum wage variation that is exogenous to the state and finds stronger evidence of disemployment effects, with elasticities often in the range of −0.4 or larger.

Baskaya and Rubinstein (2012) find that when the interaction between the federal minimum wage variation and the propensity for the federal minimum wage to bind in a state is used as an instrumental variable for the prevailing state minimum wage, stronger negative disemployment effects result compared to the standard panel data estimator.

First, the population studied varies, and this and other factors can influence how binding the minimum wage is, generating variation in estimated effects that there is no reason to simply average.

The interaction of state changes in minimum wages with the federal minimum wage creates cross-state variation from which we can identify the effect of minimum wages.

In the other case – identifying minimum wage effects from the variation within Census divisions or, even more narrowly, within contiguous cross-border county pairs – we show that the exclusion of other regions or counties as potential controls is generally not supported by the data.

China adopted minimum wage rules on Jan . 1 with variations for full-time and part-time workers and rural and urban areas.

Even though our data are the first to exploit country-level data on statutory youth minimum wage settings, there still might be variation in non-statutory or local settings that cause measurement error.