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Implications of schedule irregularity as a minimum wage response margin

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  • Jeffrey Clemens
  • Michael R. Strain

Abstract

Empirical research on minimum wages has historically focused on employment effects, with the implicit assumption that workers who remain employed under a minimum wage regime are better off. This paper develops a simple model and a stylized example to highlight the importance of an underappreciated margin: how a minimum wage might affect the regularity of workers’ schedules. Our analysis illustrates a novel line of intuition for how a minimum wage can reduce welfare even if, as in our example, it increases wages, productivity, and output, without decreasing employment.

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  • Jeffrey Clemens & Michael R. Strain, 2020. "Implications of schedule irregularity as a minimum wage response margin," Applied Economics Letters, Taylor & Francis Journals, vol. 27(20), pages 1691-1694, November.
    • Handle: RePEc:taf:apeclt:v:27:y:2020:i:20:p:1691-1694
    DOI: 10.1080/13504851.2020.1713978
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    Cited by:

    1. Michael R. Strain, 2021. "An Argument Against The $15 Minimum Wage," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 40(4), pages 1289-1297, September.
    2. Gibson, Matthew, 2021. "Employer Market Power in Silicon Valley," IZA Discussion Papers 14843, Institute of Labor Economics (IZA).
    3. Abramova, Inna, 2024. "Labor supply and M&A in the audit market," Journal of Accounting and Economics, Elsevier, vol. 78(1).
    4. Jeffrey Clemens & Michael R. Strain, 2023. "How important are minimum wage increases in increasing the wages of minimum wage workers?," Contemporary Economic Policy, Western Economic Association International, vol. 41(4), pages 594-612, October.
    5. Regmi, Krishna, 2020. "The effect of the minimum wage on children’s cognitive achievement," Labour Economics, Elsevier, vol. 65(C).
    6. Clemens, Jeffrey, 2024. "Minimum Wage Hikes Bring Tradeoffs beyond Pay and Jobs," MPRA Paper 121748, University Library of Munich, Germany.
    7. Jeffrey Clemens & Lisa B. Kahn & Jonathan Meer, 2021. "Dropouts Need Not Apply? The Minimum Wage and Skill Upgrading," Journal of Labor Economics, University of Chicago Press, vol. 39(S1), pages 107-149.
    8. Fillmore, Ian, 2022. "A $15 federal minimum wage is outside historical experience," Research in Economics, Elsevier, vol. 76(1), pages 84-92.
    9. Jonathan Meer & Hedieh Tajali, 2023. "Effects of the Minimum Wage on the Nonprofit Sector," NBER Working Papers 31281, National Bureau of Economic Research, Inc.
    10. Kim, Ji Hwan & Lee, Jungmin & Lee, Kyungho, 2023. "Minimum wage, social insurance mandate, and working hours," Journal of Public Economics, Elsevier, vol. 225(C).

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