The Impact of Minimum Wages on Wage Inequality and Employment in the Formal and Informal Sector in Costa Rica



William Davidson Institute Working Paper 479

Table 4:

Impact of Changes in the Toughness of
the Minimum Wage on Employment

Increase in

Range of Toughness Measure

Lowest
(30.0)

Median
(55.5)

Highest
(89.0)

Tot. Emp.

0.0106

0.00346

-0.0059

Cov. Emp.

0.0127

0.00556

-0.0038

Table 5: Impact of Minimum Wages on the Log of the Number
of Hours Worked

Total
Economy

Covered

Sector

Self-
Employment

Toughness

0.0055

0.0064 c

0.0223 b

(0.0035)

(0.0035)

(0.0091)

(Toughness)2

-0.00004

-0.000045 c

-0.00017 b

(0.00003)

(0.000025)

(0.000066)

Time Dummies

yes

yes

yes

Industry Dummies

yes

yes

yes

Constant

3.503 a

3.508 a

2.835 a

(0.132)

(0.130)

(0.334)

Adjusted R2

0.80

0.80

0.79

No. of Observations

91

91

91

aSignificant at the 1% level; bsignificant at the 5% level; csignificant
at the 10% level.

15



More intriguing information

1. The name is absent
2. Human Rights Violations by the Executive: Complicity of the Judiciary in Cameroon?
3. Group cooperation, inclusion and disaffected pupils: some responses to informal learning in the music classroom
4. Dual Inflation Under the Currency Board: The Challenges of Bulgarian EU Accession
5. Learning and Endogenous Business Cycles in a Standard Growth Model
6. The name is absent
7. The name is absent
8. Tax Increment Financing for Optimal Open Space Preservation: an Economic Inquiry
9. Apprenticeships in the UK: from the industrial-relation via market-led and social inclusion models
10. HEDONIC PRICES IN THE MALTING BARLEY MARKET
11. A Regional Core, Adjacent, Periphery Model for National Economic Geography Analysis
12. Meat Slaughter and Processing Plants’ Traceability Levels Evidence From Iowa
13. WP 1 - The first part-time economy in the world. Does it work?
14. Estimating the Economic Value of Specific Characteristics Associated with Angus Bulls Sold at Auction
15. Retirement and the Poverty of the Elderly in Portugal
16. The name is absent
17. The name is absent
18. The Dictator and the Parties A Study on Policy Co-operation in Mineral Economies
19. The name is absent
20. Female Empowerment: Impact of a Commitment Savings Product in the Philippines