Minimum Wage and the Average Wage in France: A Circular Relationship?

This paper investigates whether increases in the minimum wage in France have the same impact on the average wage when intended to preserve the purchasing power of the minimum wage as when intended to raise it. We find that the impact of the minimum wage on the average wage is strong, but differs depending on the indexation factor. We also find some empirical evidence of circularity between the average wage and the minimum wage.

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Year of publication:	2013
Authors:	Cette, Gilbert ; Chouard, Valérie ; Verdugo, Gregory
Publisher:	Bonn : Institute for the Study of Labor (IZA)
Subject:	minimum wage \| average wage \| France

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Series:	IZA Discussion Papers ; 7502
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
Other identifiers:	756021812 [GVK] hdl:10419/80686 [Handle] RePEc:iza:izadps:dp7502 [RePEc]
Classification:	E24 - Employment; Unemployment; Wages ; J31 - Wage Level and Structure; Wage Differentials by Skill, Training, Occupation, etc ; J58 - Public Policy
Source:	EconStor

Persistent link: https://www.econbiz.de/10010319574