Research department seminar - Minimum wage in Germany: early evidence

Presentation by Joachim Möller, Mario Bossler, Institute for Employment Research

This session discusses the introduction of the minimum wage in Germany. Joachim Möller will present early evidence regarding the impact on employment of the introduction of the minimum wage. The paper uses micro data to test for the impact of the minimum wage at the industry branch level. It focuses on both the employment effect and the wage effect of the minimum wage.
Mario Bossler tests whether employers have anticipated the introduction of the minimum wage by forming more pessimist expectations with respect to employment and uncertainty. Using an establishment panel, Mario Bossler shows that expectations regarding the impact of a forthcoming policy measures is not neutral for the success of this policy.