TY  - RPRT
        AU  - Bossler, Mario
AU  - Schank, Thorsten
        TI  - Wage Inequality in Germany after the Minimum Wage Introduction
        PY  - 2020/Feb/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 13003
        UR  - https://www.iza.org/index.php/publications/dp13003
        AB  - We revisit the development of monthly wages in Germany between 2000 and 2017. While wage inequality strongly increased during the first years of this period, it recently returned to its initial level, raising the question what the role of the German minimum wage introduction for this reversal is. We identify effects of the minimum wage from difference-in-differences based on unconditional quantile regressions applied to German administrative employment data. The results show significant wage effects of varying magnitudes along the lower half of the wage distribution. Employment dynamics do not explain effects along the wage distribution, implying strong wage increases among the existing workforce. The increased individual labor income is not offset by decreasing social benefits. Overall, the introduction of the minimum wage can account for about half of the recent decrease in wage inequality.
        KW  - wages
KW  - inequality
KW  - minimum wage
KW  - Germany
        ER  -