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Title: Impacts of Minimum Wage Increases in the US Retail Sector: Full-time versus Part-time Employment

Citation Type: Miscellaneous

Publication Year: 2019

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Abstract: Labor costs, which account for the largest portion of retailers’ total spending, have increased as a number of U.S. states have raised minimum wages in recent years. There is an ongoing debate about whether minimum wage increases improve or harm the welfare of retail workers. Despite the relevance of this issue, evidence from the literature is mixed. Further, it is not clear if the impact of minimum wage increases affects full-time and part-time retail employees differentially. In this project, the researchers use state-level monthly data from the Current Population Survey to assess the impact of changes in minimum wages on full- and part-time retail workers. They find that minimum wage hikes negatively affect employment of retail workers and their hours of work. Another finding is that these job losses occur mostly among full-time workers, which may have further adverse effects on the accumulation of human capital in the retail sector.

Url: http://gomez.dyson.cornell.edu/research-projects.php

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Authors: Yonezawa, Koichi; Gomez, Miguel, I; McLaughlin, Edward, W

Publisher: Cornell University

Data Collections: IPUMS CPS

Topics: Labor Force and Occupational Structure

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