46 lines
2.4 KiB
YAML
46 lines
2.4 KiB
YAML
cite: Militaru2019
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author: Militaru, E., Popescu, M. E., Cristescu, A., & Vasilescu, M. D.
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year: 2019
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title: "Assessing minimum wage policy implications upon income inequalities: The case of Romania"
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publisher: Sustainability
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uri: https://doi.org/10.3390/su11092542
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pubtype: article
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discipline: economics
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country: Romania
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period: 2013-2014
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maxlength: 12
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targeting: explicit
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group: low-income workers
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data: EU Survey on Income and Living Conditions (EU-SILC)
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design: simulation
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method: microsimulation (EUROMOD); counterfactual analysis
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sample: 7500
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unit: household
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representativeness: national
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causal: 0 # 0 correlation / 1 causal
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theory:
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limitations: dependent on simulation order; can not account for tax evasion, behavioural changes; over-representation of employees in sample; remaining unobservables on inequality outcomes
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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; gender
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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: Gini coeff
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findings: small decrease in wage inequality; larger impact for women
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channels: concentration of workers at minimum wage level matters, women make up larger part; increase in number of wage earners in total number of employees
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direction: -1 # -1 neg / 0 none / 1 pos
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significance: # 0 nsg / 1 msg / 2 sg
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notes: does not see minimum wage increase as most efficient income inequality reduction policy per se, but sees efficiency possibly enhanced by accompanying skills development programs
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annotation: |
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An analysis of the effects of minimum wage increases on income inequality in Romania.
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It finds that, generally, minimum wage increases correlate with small wage inequality decreases, but carry a larger impact for women.
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The channels for the policies effects are two-fold in that there is an inequality decrease as the number of wage earners in total number of employees increases,
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as well as the concentration of workers at the minimum level mattering --- the probable channel for a larger impact on women since they make up larger parts of low-income and minimum wage households in Romania.
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Limitations to the study are some remaining unobservables for the final inequality outcomes (such as other wages or incomes), the sample over-representing employees and not being able to account for any tax evasion or behavioural changes.
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