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2015•RePEc: Research Papers in EconomicsRequires access

The Employment Effect of the Minimum Wage: An Empirical Analysis From Turkey

Selin Pelek

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Abstract

This paper examines the relationship between the minimum wage and employment in Turkey for the years 2004 -14. We investigate whether the national minimum wage has affected the employment rates of workers aged 15-29 by taking regional disparities into account. Our results do not suggest any dis-employment effect of the minimum wage. However, a correlation between the minimum wage and the informal employment rate is confirmed.

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This paper examines the relationship between the minimum wage and employment in Turkey for the years 2004 -14. We investigate whether the national minimum wage has affected the employment rates of workers aged 15-29 by taking regional disparities into account. Our results do not suggest any dis-employment effect of the minimum wage. However, a correlation between the minimum wage and the informal employment rate is confirmed.

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Available abstract

This paper examines the relationship between the minimum wage and employment in Turkey for the years 2004 -14. We investigate whether the national minimum wage has affected the employment rates of workers aged 15-29 by taking regional disparities into account. Our results do not suggest any dis-employment effect of the minimum wage. However, a correlation between the minimum wage and the informal employment rate is confirmed.

Key concepts: Minimum wage, Economics, Labour economics, Wage, Low wage, Wage rate, Demographic economics

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