Do some workers have minimum wage careers?

Monthly Labor Review

Volumn 124, Issue 5, 2001, Pages 17-27

  Carrington, William J ^a   Fallick, Bruce C ^b  

^a Welch Consult and Unicon Res Corp   (United States)

^b FEDERAL RESERVE BOARD   (United States)

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EID: 0041909610     PISSN: 00981818     EISSN: None     Source Type: Journal    
DOI: None     Document Type: Article

References (26)

1. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
2. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
3. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
4. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
5. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
6. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
7. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
8. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
9. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
10. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
11. Most research in this area has addressed the effects of the minimum wage on employment. Research on other effects of the minimum wage include work on schooling decisions. See Ronald Ehrenberg and Alan Marcus, "Minimum Wages and Teenagers Enrollment-Employment Outcomes: A Multinomial Logit Model," Journal of Human Resources, vol. 17, 1982; Janet Currie and Bruce Fallick, "Minimum Wage Legislation and the Educational Outcomes of Youths: A Re-examination," manuscript (Los Angeles, CA, UCLA, June 1991); David Neumark and William Wascher, "Minimum Wage Effects on Employment and School Enrollment: Evidence from Policy Variation in Schooling Quality and Compulsory Schooling Laws," Federal Reserve Board, Working Paper no. 133, June 1993. For the effects of minimum wage on on-the-job training, see Masanori Hashimoto "Minimum Wage Effects on Training on the Job," American Economic Review, vol. 72, no. 5, December 1982, pp. 1070-87. Regarding crime, see George A. Chressanthis and Paul W. Grimes, "Criminal Behavior and Youth in the Labour Market: The Case of the Pernicious Minimum Wage," Applied Economics, vol. 22, 1990, pp.1495-1508. Studies on the major intended benefit, changing the distribution of income in favor of low-income households include: Jere Behrman, Robin Sickles, and Paul Taubman, "The Impact of Minimum Wages on the Distribution of Earnings for Major Race-Sex Groups: A Dynamic Analysis," American Economic Review, September 1983; Richard V. Burkhauser and T. Aldrich Finegan, "The Minimum Wage and the Poor: The End of a Relationship," Journal of Policy Analysis and Management, Winter 1989, pp. 53-71; William R. Johnson and Edgar K. Browning, "The Distributional and Efficiency Effects of Increasing the Minimum Wage: A Simulation," American Economic Review, March 1983; Linda R. Martin and Demettrios Giannaros, "Would a higher minimum wage help poor families headed by women?" Monthly Labor Review, August 1990, pp. 33-7; Ralph E. Smith and Bruce Vavrichek, "The minimum wage: its relation to incomes and poverty," Monthly Labor Review, June 1987, pp. 24-30; and Gary W. Loveman and Chris Tilly, "Good Jobs or Bad Jobs? Evaluating the American Job Creation Experience," International Labour Review, vol. 127, no. 5, 1988 pp. 593-611.
12. See David Card and Alan Krueger, Myth and Measurement: the New Economics of the Minimum Wage (Princeton, NJ, Princeton University Press, 1995). Card and Krueger estimate that more than half the workers affected by the April 1990 minimum wage increase were over the age of 24. This and other facts suggest that some workers might be affected by the minimum wage well into their careers.
13. Ralph E. Smith and Bruce Vavrichek, "The Wage Mobility of Minimum Wage Workers," Industrial and Labor Relations Review, October 1992, pp. 82-88.
14. Bradley R. Schiller, "Moving Up: The Training and Wage Gains of Minimum-Wage Entrants," Social Science Quarterly, September 1994, pp. 622-36.
15. Recognizing the apparent differences between this group and the members of the sample who were no longer in school in 1980, parts of Schiller's analysis treats the two groups separately. See Schiller, "Moving Up: The Training and Wage Gains."
16. The term "outgoing rotation group" from the Current Population Survey (CPS) refers to the way earnings data are collected from households in the survey. Participating households are in the CPS sample for 4 months, leave the sample for 8 months, then return to the sample for the same 4 months of the following year. Earnings data are collected from households that are in their fourth or eighth month in the sample, that is, the outgoing groups. In contrast, the NLSY79 is relatively small and focussed on younger workers. The oldest NLSY79 respondent was 36 in 1994, the last year of data examined in our study.
17. The NLSY79 has five distinct panels: 1) a nationally representative "cross-sectional" sample and four oversampled groups: 2) blacks, 3) Hispanics, 4) economically disadvantaged whites, and 5) members of the military. Following the suggestion of Thomas MaCurdy, Thomas Mroz, and R. Mark Gritz, we exclude the poor whites and the military samples from our analysis. Using the combination of the black, Hispanic, and cross-sectional samples implies that blacks, Hispanics, and other groups are included in the sample with differing probabilities. In such circumstances, survey weights are required to make statements about the aggregate U.S. population. The original NLSY79 weights are inappropriate, however, as they are based on the inclusion of subsamples of the military and poor whites. For this reason, we use the 1979 weights developed by MaCurdy, Mroz, and Gritz, which are designed to make the restricted sample we use nationally representative. The military sample is omitted because its respondents were generally not followed after 1984, and the economically disadvantaged non-Hispanic whites were dropped after 1990 because of concerns regarding its sample frame. See Thomas MaCurdy, Thomas Mroz, and R. Mark Gritz, "An Evaluation of the National Longitudinal Survey of Youth," Journal of Human Resources, Spring 1998, pp. 345-436.
18. McCurdy and others, "An Evaluation of the National Longitudinal Survey of Youth," Journal of Human Resources.
19. The NLSY did not interview respondents in 1995, as part of the survey's move to a biennial survey schedule. Surveys were administered again in 1996, but the 2-year gap led the 1996 data to be of limited use in the analysis. The basic problem is that the wage for 1995 must be calculated from the 1996 survey, which is a fairly lengthy recall period that may result in inaccurate wage measurements.
20. All statistics are calculated using NLSY 1979 sample weights.
21. The basic idea behind such ripple effects is that raising the price of minimum wage labor may increase demand for close substitutes, and that near-minimum wage labor is likely to be the closest substitute. See Jean B. Grossman, "The Impact of the Minimum Wage on Other Wages," Journal of Human Resources, vol. 18, 1983, pp. 359-78; and Card and Krueger, Myth and Measurement.
22. The basic idea behind such ripple effects is that raising the price of minimum wage labor may increase demand for close substitutes, and that near-minimum wage labor is likely to be the closest substitute. See Jean B. Grossman, "The Impact of the Minimum Wage on Other Wages," Journal of Human Resources, vol. 18, 1983, pp. 359-78; and Card and Krueger, Myth and Measurement.
23. See Ralph E. Smith and Bruce Vavrichek, "The Wage Mobility of Minimum Wage Workers," Industrial & Labor Relations Review, October 1992, pp. 82-88. The figures in table 3 are similar to the transition rates that Smith and Vavrichek estimated using the Survey of Income and Program Participation (SIPP).
24. For any worker, we define the "first career year" to be the first year of the first 2-year period in which they do not go to school. Some workers eventually do go back and obtain further education such as GED'S or graduate degrees. Thus, the NLSY panel does acquire some education as they move further out into their career. The acquisition of graduate degrees is probably unimportant from our perspective, because people acquiring such degrees were probably not employed in minimum wage work prior to their return to school. In contrast, the GED may be an important element of workers' escape from minimum wage work.
25. Price deflators are based on the Consumer Price Index for All Urban Consumers series.
26. We obtained similar results when we estimated analogous models using a logit specification. In addition, standard errors in table 6 take account of stratification and clustering in the design of the survey.