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Asymmetric information renders minimum wages less harmful

Ronnie Schöb ; Marcel Thum
We show that a minimum wage introduced in the presence of asymmetric information about worker productivities will lead to lower unemployment levels than predicted by the standard labour market model with heterogeneous labour and symmetric information. -- minimum wages ; unemployment ; asymmetric information ; labour market regulation
Year of publication:
2009
Authors: Schöb, Ronnie ; Thum, Marcel
Publisher: München : CESifo
Subject: Mindestlohn | Minimum wage | Wirkungsanalyse | Impact assessment | Beschäftigungseffekt | Employment effect | Asymmetrische Information | Asymmetric information | Arbeitsproduktivität | Labour productivity | Theorie | Theory
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