Monday, March 9, 2009

A couple of sources

JSTOR: Public Choice, Vol. 62, No. 1 (Jul., 1989), pp. 15-24
McROBERTS, KENNETH, Blais, Andre, and Cousineau, Jean-Michel .
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This paper examines determinants of Canadian minimum wage policies from 1975-1982. It points out fallacies and discusses alernative explanations of minimum wage policies. This is from the perspective of a political market approach, where the benefit of women, youth, small businessesm and unions is emphasized. Econometric models are used to estimated cross-section data for nine provinces in canada. The econometric results tend to support most of the hypotheses stated.

JSTOR: The Journal of Human Resources, Vol. 39, No. 2 (Spring, 2004), pp. 425-450
Washcer, William, Schweitzer, Mark, and Neumark, David .
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This paper points out the irony in minimum wages. Minimum wages are set to help out the lower class and low-wage earning laborers, however net effect of minimum wages actually had adverse effects on low-wage workers. This paper illustrates a too frequent scenario in which a worker who earns near minimum wage experiences an increase in pay as a result of increased minimum wage. However, despite his gain in pay the worker is negativley effected by the change in minimum wage because he will experience a great decline in the hours he is employed.

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