minimum wage, labour costs, productivity, firm behaviour

Publication date: 29 May 2015 | Publication type: NIESR Discussion Paper | Theme: Trade, Investment & Productivity | Authors: Riley, R | JEL classification: J08, J31, J38, L25 | NIESR discussion paper number: 449
This paper exploits the introduction of the National Minimum Wage (NMW) in Britain and subsequent increases in the NMW to identify the effects of minimum wages on productivity. We find that the NMW increased average labour costs for companies that tend to employ low paid workers, both upon the...