According to federal law in 2013, employers can take a credit of up to $5.13 for tips received by workers in satisfying the minimum wage requirement of $7.25. This study uses interstate variation in laws regarding tip credits and minimum wages to identify the effects of reducing or eliminating...

We use information from the National Longitudinal Survey of Youth 1979 (NLSY79) and supplementary data sources to examine how cognitive performance, measured at approximately the end of secondary schooling, is related to the labor market outcomes of 20 through 50 year olds. Our estimates control...

This paper studies the employment and income effects of a federal proposal in 2016 to expand overtime coverage to additionally cover salaried workers earning between $455 and $913 per week ($23,660 and $47,476 per annum). Although the policy was unexpectedly nullified a week before its proposed...

We study the effects of pay history inquiry bans on employers' pay offers and hiring practices. Using salary information on online job postings, we find that posted pay offers decline after the implementation of pay history inquiry bans. We also find some evidence that the number of online job...

Since its enactment in 2005, the National Rural Employment Guarantee Act (NREGA) has been implemented in 200 districts in India. Based on state-by-state employment demand-supply data and the use of funds released under NREGA, it is found that, although it is a demand-driven scheme, there are...

This paper studies firms' adjustment behavior to the growth in labor costs induced by Italian collective bargaining institutions. Our research design compares several firms' outcomes across collective agreements within the same sector and geographic location, exploiting discontinuities in...

This paper studies firms' adjustment behavior to the growth in labor costs induced by Italian collective bargaining institutions. Our research design compares several firms' outcomes across collective agreements within the same sector and geographic location, exploiting discontinuities in...

Rapid technological progress poses challenges for labor markets. Automation can both displace and create jobs. Currently, an unprecedented digitalization of our economy is underway. Artificial intelligence has become a reality and machines are able to learn how to outperform humans in some...

The empirical evidence on the incidence of payroll taxation is primarily based on the wage bill of firms. This paper applies matched employer-employee register data on individual wages for all private sector workers in Norway. Exploiting a payroll tax reform and using the...

The dual economy development models hold minimum wages (among other institutions) accountable for persistent dualism. We use 12 years of micro data on thousands workers in Costa Rica to test whether legal minimum wages have a differential impact on wages in the formal sector vs. informal sector,...