Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/180913
Authors: 
Blömer, Maximilian J.
Guertzgen, Nicole
Pohlan, Laura
Stichnoth, Holger
van den Berg, Gerard J.
Year of Publication: 
2018
Series/Report no.: 
ZEW Discussion Papers 18-032
Abstract: 
We structurally estimate an equilibrium search model using German administrative data and use this for counterfactual analyses of a uniform minimum wage. The model with worker and firm heterogeneity does not restrict the sign of employment effects a priori and allows for different job offer arrival rates for the employed and the unemployed. We find that unemployment is a non-monotonic function of the minimum wage level. Effects differ strongly by labour market segment. Cross-segment variation of the estimated effects is mostly driven by firm productivity levels rather than by search frictions or the opportunity cost of employment.
Subjects: 
wages
job durations
work
employment
productivity
structural estimation
JEL: 
J31
J51
J64
Document Type: 
Working Paper
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