The minimum wage puzzle in less developed countries : reconciling theory and evidence

by Christopher Adam and Edward Buffie

We show that a dynamic general equilibrium model with efficiency wages and endogenous capital accumulation in both the formal and (non-agricultural) informal sectors can explain the full range of confounding stylized facts associated with minimum wage laws in less developed countries

Year of publication:	2020
Authors:	Adam, Christopher S. ; Buffie, Edward F.
Publisher:	[Washington, DC] : International Monetary Fund
Subject:	minimum wage \| employment elasticity \| lighthouse effect \| Mindestlohn \| Minimum wage \| Entwicklungsländer \| Developing countries \| Schätzung \| Estimation \| Theorie \| Theory \| Erwerbstätigkeit \| Employment \| Beschäftigungseffekt \| Employment effect

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