We examine a subminimum wage policy in the Finnish retail trade sector during 1993–1998 that allowed firms to pay … subminimum wages to newly hired workers under the age of 25. This quasi-experiment enables us to compare wages for new hires in … creating indirect costs for firms paying subminimum wage would be the mechanism why the take-up of subminimum wage by firms …

We examine a subminimum wage policy in the Finnish retail trade sector during 1993-1998 that allowed firms to pay … subminimum wages to newly hired workers under the age of 25. This quasi-experiment enables us to compare wages for new hires in … creating indirect costs for firms paying subminimum wage would be the mechanism why the take-up of subminimum wage by firms …

In analyses of minimum wages, positive "ripple effects" and subminimum wages are difficult to distinguish from … subminimum wage payment is illusory in that spillovers accrue to older individuals while underpayment accrues to the young … subminimum-wage payment are real effects of minimum wage increases rather than artifacts of measurement error. …

In analyses of minimum wages, positive "ripple effects" and subminimum wages are difficult to distinguish from … subminimum wage payment is illusory in that spillovers accrue to older individuals while underpayment accrues to the young … subminimum-wage payment are real effects of minimum wage increases rather than artifacts of measurement error. …