Investigating the Effects of Minimum Wages on Employment, Unemployment and Labour Participation in Java: A Dynamic Spatial Panel Approach

IF 2 2区经济学 Q1 AREA STUDIES

Bulletin of Indonesian Economic Studies Pub Date : 2021-04-08 DOI:10.1080/00074918.2021.1914817

T. Siregar

引用次数: 1

Abstract

Using district-level data for urban areas in Java, we assess the impact of minimum wages on formal- and informal-sector employment, unemployment and labour participation. We employ the spatial Durbin model for our estimation and allow labour markets to be spatially correlated across districts. Our findings suggest that a minimum-wage rise affects mainly the local labour market where the minimum-wage increase occurs. The spillover effects of a minimum-wage increase on neighbouring districts are negligible, except for the impact on labour participation. The results of this study highlight the need to account for spatial dependence when modelling formal-sector employment, unemployment and labour participation, as we found those variables to be geographically correlated, at least across districts in Java.

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爪哇省最低工资对就业、失业和劳动参与的影响调查：动态空间面板法

利用爪哇城市地区的地区级数据，我们评估了最低工资对正规和非正规部门就业、失业和劳动力参与的影响。我们采用空间Durbin模型进行估计，并允许劳动力市场在各个地区之间存在空间相关性。我们的研究结果表明，最低工资上涨主要影响当地劳动力市场，而当地劳动力市场正是最低工资上涨的地方。除了对劳动力参与的影响外，提高最低工资对邻近地区的溢出效应可以忽略不计。这项研究的结果强调，在对正规部门就业、失业和劳动力参与进行建模时，需要考虑空间依赖性，因为我们发现这些变量在地理上是相关的，至少在爪哇的各个地区是如此。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Bulletin of Indonesian Economic Studies Multiple-

CiteScore

9.20

自引率

9.80%

发文量

期刊介绍： The Bulletin of Indonesian Economic Studies, a peer-reviewed journal published by the Indonesia Project at The Australian National University"s College of Asia and the Pacific, fills a significant void by providing a well respected outlet for high-quality research on any and all matters pertaining to the Indonesian economy, and touching on closely related fields such as law, the environment, government and politics, demography, education and health. In doing so, it has played an important role in helping the world, and Indonesians themselves, to understand Indonesia.