Impact of policy decisions on 10th percentile wage and 50/10 wage gap, 1979--2017
| Growth, 1979–2017 (deflated by CPI-U-RS) | Impact on low wages | Sources |
|---|---|---|
| Basic trends | ||
| 10th percentile | -2.1% | |
| 50/10 wage gap | 15.0 ppt | |
| Log 50/10 wage gap | 8.0 ppt | |
| Factors | ||
| Minimum wage | ||
| 10th percentile | 16.7% | Fortin, Lemieux, and Lloyd (2021) |
| Log 50/10 wage gap | 13.8 ppt | Fortin, Lemieux, and Lloyd (2021); Autor, Manning, and Smith (2016) |
| Excessive unemployment* | ||
| 10th percentile | 11.6% | Bivens and Zipperer (2018); Katz and Krueger (1999) |
| 50/10 wage gap | 2.7 ppt | Bivens and Zipperer (2018); Katz and Krueger (1999) |
* Average relative to 5.5% unemployment
Source: Authors’ analysis.