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The Impact of minimum wage policy on wages and employment in developing countries : the case of Indonesia
|Title:||The Impact of minimum wage policy on wages and employment in developing countries : the case of Indonesia|
|LC Subject Headings:||Minimum wage - Indonesia|
Wages - Indonesia
Labor market - Indonesia
Employment (Economic theory)
|Publisher:||Honolulu: East-West Center|
|Series/Report no.:||East-West Center working papers. Economics series ; no. 38|
|Abstract:||Since the late 1980s, minimum wages have become an important plank of the Indonesian government's labour policy. Minimum wages have increased faster than average wages and GDP. As a result, minimum wages have become binding for the majority of workers. This study finds that minimum wages have a positive but statistically insignificant impact on average wages. On the other hand, minimum wages have a negative and statistically significant impact on employment. In particular, the disemployment impact is greatest for women, youth, and less educated workers. However, the employment prospects of white-collar workers are enhanced by increases in minimum wages.|
|Description:||For more about the East-West Center, see http://www.eastwestcenter.org/|
|Appears in Collections:||Economics [Working Papers]|
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