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The Effect of State Minimum Wage Leg...

Rizik, Sara.

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The Effect of State Minimum Wage Legislation on the Labor Supply Decisions of Parents.

Record Type:	Electronic resources : Monograph/item
Title/Author:	The Effect of State Minimum Wage Legislation on the Labor Supply Decisions of Parents./
Author:	Rizik, Sara.
Published:	Ann Arbor : ProQuest Dissertations & Theses, : 2017,
Description:	76 p.
Notes:	Source: Masters Abstracts International, Volume: 56-04.
Contained By:	Masters Abstracts International56-04(E).
Subject:	Public policy. -
Online resource:	http://pqdd.sinica.edu.tw/twdaoapp/servlet/advanced?query=10269492
ISBN:	9781369710540

The Effect of State Minimum Wage Legislation on the Labor Supply Decisions of Parents.
Rizik, Sara.

The Effect of State Minimum Wage Legislation on the Labor Supply Decisions of Parents. - Ann Arbor : ProQuest Dissertations & Theses, 2017 - 76 p.

Source: Masters Abstracts International, Volume: 56-04.

Thesis (M.P.P.)--Georgetown University, 2017.

In the face of a rather stagnant federal minimum wage, many states have enacted generous wage levels exceeding the federal standard, while other states have not. Over the years, this distinction has provided favorable circumstances for studying the effects of this policy. The intention of the minimum wage has always been to aid low-income adults, ideally ensuring enough income to afford the bare necessities. Researchers have endeavored to expose whether the policy truly works as originally envisioned. This paper adds to the vast literature by examining the effect of state minimum wage hikes on the labor supply decisions made by parents. Specifically, my research focuses on the intensive margin of labor supply, namely hours of work per week. I use data from the Current Population Survey Outgoing Rotation Group to study this effect. My sample comprises a wide variety of people, and utilizes different model specifications to robustly analyze the demographic of interest: parents. The models include ordinary least squares (OLS), linear probability model (LPM), logit, triple differencing, and Heckman selection correction. The results of this research suggest that there is indeed a negative, but quite small, labor supply effect from boosts to state minimum wages. My analysis also indicates an additional slight negative response for parents compared to non-parents, but with limited statistical significance depending on the model. In some cases, the effect is more robust and statistically significant when considering parents with young children, particularly children under the age of five.

ISBN: 9781369710540Subjects--Topical Terms:

532803
Public policy.

The Effect of State Minimum Wage Legislation on the Labor Supply Decisions of Parents.
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245 1 4 $a The Effect of State Minimum Wage Legislation on the Labor Supply Decisions of Parents.
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500 $a Source: Masters Abstracts International, Volume: 56-04.
500 $a Adviser: Jeffrey Thompson.
502 $a Thesis (M.P.P.)--Georgetown University, 2017.
520 $a In the face of a rather stagnant federal minimum wage, many states have enacted generous wage levels exceeding the federal standard, while other states have not. Over the years, this distinction has provided favorable circumstances for studying the effects of this policy. The intention of the minimum wage has always been to aid low-income adults, ideally ensuring enough income to afford the bare necessities. Researchers have endeavored to expose whether the policy truly works as originally envisioned. This paper adds to the vast literature by examining the effect of state minimum wage hikes on the labor supply decisions made by parents. Specifically, my research focuses on the intensive margin of labor supply, namely hours of work per week. I use data from the Current Population Survey Outgoing Rotation Group to study this effect. My sample comprises a wide variety of people, and utilizes different model specifications to robustly analyze the demographic of interest: parents. The models include ordinary least squares (OLS), linear probability model (LPM), logit, triple differencing, and Heckman selection correction. The results of this research suggest that there is indeed a negative, but quite small, labor supply effect from boosts to state minimum wages. My analysis also indicates an additional slight negative response for parents compared to non-parents, but with limited statistical significance depending on the model. In some cases, the effect is more robust and statistically significant when considering parents with young children, particularly children under the age of five.
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