feat(data): Extract Wong2019
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02-data/processed/relevant/Wong2019.yml
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02-data/processed/relevant/Wong2019.yml
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author: Wong, S. A.
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year: 2019
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title: "Minimum wage impacts on wages and hours worked of low-income workers in Ecuador"
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publisher: World Development
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uri: https://doi.org/10.1016/j.worlddev.2018.12.004
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pubtype: article
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discipline: development
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country: Ecuador
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period: 2011-2014
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maxlength: 12
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targeting: implicit
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group: wage workers
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data: national employment survey (ENEMDU)
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design: quasi-experimental
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method: difference-in-difference approach; relies on GINI coeff for inequality
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sample: 1_624_422
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unit: individual
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representativeness: national
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causal: 1 # 0 correlation / 1 causal
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theory:
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limitations: some small sort-dependency in panel data; can only account for effects in period of economic growth
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observation:
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- intervention: minimum wage
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institutional: 1
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structural: 1
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agency: 0
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inequality: income
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type: 0 # 0 vertical / 1 horizontal
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indicator: 1 # 0 absolute / 1 relative
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measures: income
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findings: significant increase on income of low-wage earners; larger effect for agricultural workers, smaller for women; potentially negative impact on income of high-earners
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channels: income-compression effect
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direction: 1 # -1 neg / 0 none / 1 pos
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significance: 2 # 0 nsg / 1 msg / 2 sg
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- intervention: minimum wage
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institutional: 1
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structural: 1
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agency: 0
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inequality: income
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type: 0 # 0 vertical / 1 horizontal
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indicator: 1 # 0 absolute / 1 relative
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measures: hours worked
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findings: significant effect on hours worked; no significant spillover effect on workers in control group; significant negative impact on female hours worked
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channels: possibly decreased intensive margin for female workers; affecting lower income increase of women
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direction: 1 # -1 neg / 0 none / 1 pos
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significance: 0 # 0 nsg / 1 msg / 2 sg
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notes:
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annotation: |
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A study looking at the impacts of minimum wage increases in Ecuador specifically on the income and hours worked of low-wage earners.
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It finds that, generally, there was a significant increase on the income of low-wage earners and also a significant increase on wage workers hours worked which would reflect positively on a decrease in the country's income inequality.
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At the same time, it finds some potential negative effects on the income of high earners, suggesting an income-compression effect as employers freeze or reduce high-earners wages to offset low-earners new floors.
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The findings hide internal heterogeneity, however:
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For income the effect is largest for agricultural workers while for women the effect is significantly smaller than overall affected workers.
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For hours worked there is a significant negative impact on women's hours worked, a fact which may point to a decreased intensive margin for female workers and thus also affect their lower income increases.
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Limitations of the study include some sort-dependency in their panel data and only being able to account for effects during a period of economic growth.
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