Skip to main content

Economics21:
Robots gain from higher minimum wage

14 August 2017

A new working paper by Grace Lordan of the London School of Economics and David Neumark of the University of California at Irvine finds that increasing the minimum wage lowers the share of jobs susceptible to automation held by low-skill workers. A $1 increase in the minimum wage lowers this share by 0.43 percentage points.  Increases also adversely affect the workers' likelihood of being employed and hours worked.

Related publications

People Versus Machines: The Impact of Minimum Wages on Automatable Jobs

Published August 2017

Available on the NBER website

Read more... Economics21