We analyze the existence and magnitude of downward nominal wage rigidities in the Mexican labor market. We use data from the administration records of the Instituto Mexicano del Seguro Social (IMSS). These records form a firm level panel data, which allows to follow workers employed in the same...

I estimate the effect of a real minimum wage increase on formal and informal wages, and employment in Colombia. For identification, I take advantage of an unexpected increase in the real minimum wage during 1999, and I compare cities and industries with different incidence of the minimum wage...