Please use this identifier to cite or link to this item: https://dspace.agu.edu.vn:8080/handle/agu_library/14628
Title: Do minimum wages affect firms’ labor and capital? Evidence from Vietnam
Authors: Cuong, Nguyen Viet
Keywords: Minimum wages
Panel data
Impact evaluation
Firms
Vietnam
Issue Date: 2017
Series/Report no.: Journal of the Asia Pacific Economy;Volume 22, Issue 2
Abstract: This study measures the effect of minimum wage increases on firm outcomes using fixed effects regression and panel data from Vietnam Enterprise Censuses during 2008–2010. It finds that minimum wages reduce firms’ labor size, albeit at a small magnitude. A one-percent increase in real minimum wages leads to a 0.1% reduction in the number of workers of firms. Firms are more likely to reduce male workers and those without social insurance. As a result, the proportion of female workers and workers with social insurance in firms increases due to minimum wages. Interestingly, under pressure of minimum wages, firms tend to increase assets, especially fixed assets, for labor substitution.
URI: https://mpra.ub.uni-muenchen.de/48656/1/MPRA_paper_48656.pdf
http://dspace.agu.edu.vn:8080/handle/agu_library/14628
Appears in Collections:Labor and social protection

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