%0 Report
        %A Blumkin, Tomer
%A Danziger, Leif
        %T Deserving Poor and the Desirability of a Minimum Wage
        %D 2014
        %8 2014 Aug
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 8418
        %U https://www.iza.org/index.php/publications/dp8418
        %X This paper provides a novel justification for using a minimum wage to supplement an optimal tax-and-transfer system. We demonstrate that if labor supply decisions are concentrated along the intensive margin and employment is efficiently rationed, a minimum wage can be socially beneficial by serving as a screening device that targets benefits to the deserving poor. We also show that with a minimum wage in place, a negative marginal tax rate may not be optimal.
        %K deserving poor
%K minimum wage
%K redistribution
%K efficient rationing
%K negative marginal tax rate