In:
German Economic Review, Walter de Gruyter GmbH, Vol. 10, No. 2 ( 2009-05-01), p. 224-242
Abstract:
Against the background of the current discussion of statutory minimum wages in Germany, this paper analyzes the potential employment and fiscal effects of such a policy. Based on estimated labor demand elasticities obtained from a structural labor demand model, the empirical results imply that minimum wages in Germany will be associated with significant employment losses among marginal and low- and semi-skilled full-time workers. Even though minimum wages will lead to increased public revenues from income taxes and social security benefits, they will result in a significant fiscal burden, due to increased unemployment benefits and decreased revenues from corporate taxes.
Type of Medium:
Online Resource
ISSN:
1468-0475
,
1465-6485
DOI:
10.1111/j.1468-0475.2009.00467.x
Language:
English
Publisher:
Walter de Gruyter GmbH
Publication Date:
2009
detail.hit.zdb_id:
1481108-X
detail.hit.zdb_id:
2008828-0
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