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| Preface | |
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| Introduction | |
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| Plan of the Book | |
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| Theoretical Perspectives on the Minimum Wage | |
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| Brief History of the Minimum Wage in the United States | |
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| State Minimum Wages | |
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| Descriptive Evidence on Minimum Wage Effects | |
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| The Data Source | |
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| Who Are the Minimum Wage Workers? | |
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| Impacts of Minimum Wage Changes on Wages | |
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| A Model of Minimum Wage Effects on Labor Market Careers | |
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| Characterization of the Labor Market Career | |
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| The Stationary Labor Market Environment | |
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| The Decision-Theoretic Model | |
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| Nash-Bargained Employment Contracts | |
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| The Search-Bargaining Model without Minimum Wages | |
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| Bargaining with a Minimum Wage Constraint | |
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| The Labor Market Participation Decision | |
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| Endogeneity of the Rate of Contacts | |
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| Labor Market and Welfare Impacts of Minimum Wages | |
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| Minimum Wages and Labor Market Status | |
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| Minimum Wages and Unemployment | |
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| The Impact of Minimum Wage Changes on Wage Distributions | |
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| Welfare Measures | |
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| General Welfare Criteria | |
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| Specific Welfare Measures | |
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| Minimum Wage Effects on Labor Market Outcomes: A Selective Survey | |
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| Surveys of Empirical Studies of Minimum Wage Effects | |
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| Empirical Studies of �Large Impacts� and Methodological Innovations | |
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| Pereira (2003) | |
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| Bell (1997) | |
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| Campolieti et al. (2005) | |
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| Machin et al. (2003) | |
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| Dinardo et al. (1996) | |
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| Alternative Behavioral Frameworks | |
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| Meyer and Wise (1983a, b) | |
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| Van den Berg (2003) | |
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| Eckstein and Wolpin (1990) | |
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| Van den Berg and Ridder (1998) | |
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| Assessing the Welfare Impacts of Actual Changes in the Minimum Wage | |
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| Results Using Unconditional Wage Distributions | |
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| Results for Conditional Wage Distributions | |
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| Results Using Matched Data | |
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| Welfare Impacts of the 1996 and 1997 Statutory Minimum Wage Increases | |
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| Tests Utilizing Cross-sectional Wage Distributions | |
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| Tests Utilizing Panel Data | |
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| Data and Empirical Results | |
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| Cross-sectional Wage Distribution Results | |
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| Empirical Analysis Using the Matched CPS Sample | |
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| Econometric Issues | |
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| Identification of Choice-Theoretic Search Models | |
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| Estimation of the Bargaining Model | |
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| Model Identification | |
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| No Minimum Wage | |
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| Binding Minimum Wage | |
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| Some Additional Identification Devices | |
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| Use of Demand Side Information to Estimate � | |
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| Estimation of Demand Side Parameters | |
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| Model Estimates and Tests | |
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| Parameter Estimates Using Profit Information | |
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| Estimates of Demand Side Parameters and the Matching Function | |
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| Model Fit | |
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| Optimal Minimum Wages | |
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| On-the-Job Search | |
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| Introduction | |
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| Model Specifications | |
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| The Model with Renegotiation | |
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| The Model without Renegotiation | |
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| Examples | |
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| Endogenous Contact Rates | |
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| Specification of the Matching Function with OTJ Search | |
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| Labor Market Participation Decisions | |
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| Estimation Issues | |
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| Estimation Results | |
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| Optimal Minimum Wages with OTJ Search | |
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| Heterogeneity | |
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| Introducing Heterogeneity into the Basic Search Model | |
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| Detecting Heterogeneity | |
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| Observed Heterogeneity | |
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| Unobserved Heterogeneity | |
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| An Extended Example | |
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| Implications of Heterogeneity for Equilibrium and Labor Market Policies | |
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| General Equilibrium and Heterogeneity | |
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| Policy Implications | |
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| Conclusion | |
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| Theory | |
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| Limitations of the Modeling Framework | |
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| Empirical Findings and Lessons | |
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| Appendix: Proofs of Selected Propositions from Chapter 7 | |
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| Notes | |
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| Index | |