The minimum wage and teenage employment: evidence from time series

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This study reconsiders the evidence from time-series data concerning the relationship between the minimum wage and teenage employment rates. The results suggest that the previous literature failed to adequately address issues of stationarity, dynamic specification and endogeneity. The data are reanalysed in light of recent developments in time-series methods and evidence is found of a negative relationship between the minimum wage and teenage employment. The results are robust across variations in the sample period, the control variables, and the measure of the minimum wage.

Document Type: Research Article


Publication date: February 1, 2001

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