%0 Report %A Ku, Hyejin %T Does Minimum Wage Increase Labor Productivity? Evidence from Piece Rate Workers %D 2020 %8 2020 Jun %I Institute of Labor Economics (IZA) %C Bonn %7 IZA Discussion Paper %N 13369 %U https://www.iza.org/publications/dp13369 %X We examine worker effort as a potential margin of adjustment to a minimum wage hike using unique data on piece rate workers who perform a homogenous task and whose individual output is rigorously recorded. By employing a difference-in-differences strategy that exploits the increase in Florida's minimum wage from $6.79 to $7.21 on January 1, 2009, and worker location on the pre-2009 productivity distribution, we provide evidence consistent with incumbent workers' positive effort responses. %K labor productivity %K labor productivity %K effort %K effort %K incentive %K minimum wage