Appendix Table 1

Estimated effects of proposed federal minimum-wage increase to $10.10 by 2016, fully phased in, by state

State Estimated workforce1 Directly affected2 Indirectly affected3 Total affected Share of workforce affected Increased wages for all affected workers4 GDP impact5 Jobs impact: Full-time employment6
United States 130,635,000 16,718,000 11,101,000 27,819,000 21.3% $34,987,008,000 $22,146,777,000 84,800
Alabama 1,936,000 323,000 139,000 462,000 23.9% $819,951,000 $519,029,000 1,900
Alaska 303,000 28,000 16,000 44,000 14.5% $68,073,000 $43,089,000 200
Arizona 2,466,000 331,000 186,000 517,000 21.0% $677,190,000 $428,661,000 1,600
Arkansas 1,113,000 227,000 88,000 315,000 28.3% $615,085,000 $389,349,000 1,400
California 14,994,000 94,000 2,614,000 2,708,000 18.1% $458,628,000 $290,311,000 2,200
Colorado 2,260,000 269,000 141,000 410,000 18.1% $578,138,000 $365,962,000 1,500
Connecticut 1,540,000 140,000 87,000 227,000 14.7% $158,511,000 $100,337,000 500
Delaware 379,000 55,000 23,000 78,000 20.6% $112,230,000 $71,042,000 200
District of Columbia 317,000 23,000 12,000 35,000 11.0% $48,045,000 $30,412,000 100
Florida 7,705,000 1,067,000 710,000 1,777,000 23.1% $2,178,731,000 $1,379,137,000 5,400
Georgia 4,038,000 571,000 340,000 911,000 22.6% $1,371,822,000 $868,363,000 2,900
Hawaii 552,000 59,000 40,000 99,000 17.9% $127,199,000 $80,517,000 300
Idaho 615,000 112,000 51,000 163,000 26.5% $269,464,000 $170,571,000 600
Illinois 5,494,000 733,000 394,000 1,127,000 20.5% $1,359,415,000 $860,509,000 3,900
Indiana 2,726,000 436,000 201,000 637,000 23.4% $954,820,000 $604,401,000 2,200
Iowa 1,423,000 216,000 90,000 306,000 21.5% $430,462,000 $272,483,000 900
Kansas 1,285,000 201,000 88,000 289,000 22.5% $423,441,000 $268,038,000 1,000
Kentucky 1,794,000 304,000 158,000 462,000 25.8% $664,748,000 $ 420,786,000 1,400
Louisiana 1,745,000 320,000 143,000 463,000 26.5% $773,419,000 $489,574,000 1,700
Maine 573,000 84,000 37,000 121,000 21.1% $153,746,000 $97,321,000 400
Maryland 2,717,000 306,000 140,000 446,000 16.4% $677,281,000 $428,719,000 1,600
Massachusetts 2,969,000 303,000 205,000 508,000 17.1% $596,401,000 $377,522,000 1,600
Michigan 3,916,000 641,000 299,000 940,000 24.0% $1,399,338,000 $885,781,000 3,300
Minnesota 2,564,000 321,000 141,000 462,000 18.0% $614,388,000 $388,908,000 1,500
Mississippi 1,082,000 185,000 95,000 280,000 25.9% $465,334,000 $294,557,000 1,000
Missouri 2,549,000 373,000 205,000 578,000 22.7% $821,404,000 $519,948,000 1,900
Montana 400,000 60,000 28,000 88,000 22.0% $101,452,000 $64,219,000 300
Nebraska 897,000 122,000 68,000 190,000 21.2% $237,626,000 $150,417,000 500
Nevada 1,155,000 158,000 104,000 262,000 22.7% $315,847,000 $199,931,000 900
New Hampshire 637,000 77,000 36,000 113,000 17.7% $143,575,000 $90,883,000 400
New Jersey 3,899,000 469,000 255,000  724,000 18.6% $584,498,000 $369,987,000 1,800
New Mexico 780,000 104,000 43,000 147,000 18.8% $201,561,000 $127,588,000 500
New York 8,137,000 987,000 582,000 1,569,000 19.3% $1,037,532,000 $656,758,000 3,100
North Carolina 3,970,000 735,000 317,000 1,052,000 26.5% $1,664,257,000 $1,053,474,000 3,700
North Dakota 344,000 37,000 23,000 60,000 17.4% $74,536,000 $47,181,000 200
Ohio 4,863,000 815,000 332,000 1,147,000 23.6% $1,544,047,000 $977,382,000 3,900
Oklahoma 1,543,000 256,000 111,000 367,000 23.8% $561,893,000 $355,679,000 1,300
Oregon 1,523,000 173,000 96,000 269,000 17.7% $169,537,000 $107,317,000 800
Pennsylvania 5,540,000 721,000 353,000 1,074,000 19.4% $1,611,687,000 $1,020,198,000 3,800
Rhode Island 469,000 65,000 26,000 91,000 19.4% $122,847,000 $77,763,000 300
South Carolina 1,873,000 301,000 148,000 449,000 24.0% $710,820,000 $449,948,000 1,600
South Dakota 363,000 60,000 31,000 91,000 25.1% $126,350,000 $79,979,000 300
Tennessee 2,624,000 437,000 198,000 635,000 24.2% $987,829,000 $625,296,000 2,100
Texas 10,927,000 1,945,000 920,000 2,865,000 26.2% $4,977,598,000 $3,150,819,000 11,000
Utah 1,231,000 191,000 80,000 271,000 22.0% $381,270,000 $241,343,000 900
Vermont 291,000 29,000 18,000 47,000 16.2% $38,409,000 $24,313,000 100
Virginia 3,657,000 511,000 233,000 744,000 20.3% $1,261,582,000 $798,581,000 2,800
Washington 2,885,000 188,000 212,000 400,000 13.9% $150,020,000 $94,963,000 700
West Virginia 689,000 120,000 48,000 168,000 24.4% $287,648,000 $182,081,000 700
Wisconsin 2,622,000 404,000 183,000 587,000 22.4% $816,060,000 $516,566,000 1,800
Wyoming 262,000 33,000 15,000 48,000 18.3% $61,263,000 $38,779,000 100

1The estimated workforce includes CPS respondents who were 16 years old or older, employed but not self-employed, and for whom a valid hourly wage is reported or can be imputed from weekly earnings and average weekly hours. Consequently, this estimate represents the identifiable wage-earning workforce and tends to understate the size of the full workforce.

2Directly affected workers are those whose wages would rise because the new minimum wage rate would exceed their current hourly pay.

3Indirectly affected workers have an hourly wage just above the new minimum wage (between the new minimum wage and the new minimum wage plus the dollar amount of the increase over the preceding minimum wage). They would receive a raise as employers adjusted pay scales upward to reflect the new minimum wage.

4 The total annual amount of increased wages of directly and indirectly affected workers assumes they work 52 weeks per year.

5A national model is used to estimate the GDP impact of workers' increased earnings. The total state stimulus may be lower than this estimate because workers in each state will not necessarily spend all of their increased earnings in the state. However, we can assume that most of the increased earnings will be spent in-state, and thus most of the jobs created will be in-state.  GDP figures are cumulative three-year totals.

6The increased economic activity from these additional wages adds not just jobs but also hours for people who already have jobs (work hours for people with jobs also dropped in the downturn). Full-time employment estimates take that into account, essentially by taking the number of total hours added (including both hours from new jobs and more hours for people who already have jobs) and dividing by 40, to get full-time-equivalent jobs added. The estimates reflect the jobs created or sustained in the final year of the increases and assume full-time employment requires $133,000 in additional GDP.

Note: State totals may not sum to national total due to rounding. GDP and jobs impact estimation methods can be found in Cooper and Hall (2013) and Bivens (2011).

Source: Author's analysis of 2013 Harkin-Miller proposal using Current Population Survey Outgoing Rotation Group microdata from 2012Q4 through 2013Q3

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