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Youth Minimum Wage Reform and the Labour Market - WP 04/03

Tables and Figures (continued)

Table 6 – Regression Estimates with Age-specific Linear Time Trends
  Employment(1) Hours Worked(2) Studying(3) Unemployed(4) Inactive(5) Received Benefits(6) Log Labour Earnings(7) Log Total Income(8)
Age 16-71*
2001 0.016(0.016) 0.087(0.682) -0.012(0.011) 0.012(0.008) 0.017*(0.009) 0.043**(0.018) 0.284***(0.053) 0.199***(0.045)
2002 -0.002(0.018) 1.789**(0.746) -0.012(0.013) -0.002(0.011) 0.018*(0.010) 0.065***(0.022) 0.358***(0.067) 0.300***(0.056)
2003 -0.021(0.022) 1.519(0.921) 0.001(0.016) -0.013(0.013) 0.023*(0.013) 0.084***(0.026) 0.407***(0.081) 0.187***(0.067)
Age 18-19*
2001 0.030**(0.015) -0.569(0.691) -0.030***(0.011) -0.002(0.009) 0.014(0.012) -0.023(0.020) 0.048(0.047) -0.011(0.047)
2002 0.036**(0.015) -0.295(0.804) -0.030**(0.012) -0.013(0.011) 0.012(0.013) -0.017(0.024) -0.056(0.063) -0.047(0.060)
2003 0.029(0.020) 0.755(1.152) -0.023(0.017) -0.019(0.013) 0.002(0.016) -0.046(0.029) -0.055(0.075) -0.183**(0.076)
Age 20-21*
2001 0.050***(0.013) -0.127(0.538) -0.034***(0.010) 0.001(0.007) 0.001(0.010) 0.004(0.017) 0.024(0.070) 0.131***(0.041)
2002 0.023(0.015) 0.542(0.560) -0.003(0.014) -0.006(0.009) 0.003(0.012) -0.004(0.024) 0.074(0.059) 0.026(0.060)
2003 0.012(0.023) 0.907(0.779) -0.028*(0.017) -0.004(0.011) 0.031*(0.017) 0.006(0.025) 0.019(0.075) -0.007(0.082)
F-statistics(Time trends) 2.49(0.01) 1.01(0.44) 5.85(0.00) 2.14(0.02) 1.99(0.03) 5.31(0.00) 4.99(0.00) 5.20(0.00)
Observations 125,422 70,707 125,422 125,422 125,422 31,354 17,301 31,354
R-squared 0.11 0.20 0.37 0.02 0.09 0.11 0.38 0.36

Notes: Coefficients followed by one, two, and three stars are significantly different from zero at the 10, 5, and 1 percent level, respectively. Huber-White robust standard errors, which allow for arbitrary correlation in individual error terms within age-quarter cells, are in parentheses, except probability values for the F-statistics. Regressions in columns (1)-(5) include single age-specific, quarter-specific effects, other covariates, age-specific seasonal effects and linear quarterly time-trends (as specified in table 4, column (7)); those in columns (6)-(8) are estimated using annual data and thus include single age-specific and year-specific effects, other covariates, and age-specific linear annual time-trends. The F-statistics test the joint significance of the age-specific linear time trends.

Figure 1 – Real Minimum wage by Age Group
Figure 1 – Real Minimum wage by Age Group.
Figure 2 – Hours Weighted Hourly Wage Kernel Densities
Figure 2 – Hours Weighted Hourly Wage Kernel Densities.
Figure 3 – Real Wages and the Minimum Wage
Figure 3 – Real Wages and the Minimum Wage.
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