Abstract
Minimum wage as a political and socioeconomic issue has become more and more contentious as wages have stagnated and cost of living has increased through the years. Rising wealth inequalities in the United States, in addition to minimum wage not increasing federally since 2009 has led to the topic gaining more attention. This study analyzes how potential minimum wage increases impact the unemployment rate. By understanding the potential impacts of minimum wage increase we can get insights on how firms may decide to hire employees and thus see potential impacts on the overall economy. This study presents a simulation of the labor market to see how increases to minimum wage impacts unemployment rate. In addition, this study utilizes empirical evidence from multiple states real-life data on minimum wage increases effects as a comparison to the simulation. Findings show that increases to minimum wage will lead to small increases in the unemployment rate.
Advisor
Guarnera, Heather
Second Advisor
Tian, Huiting
Department
Computer Science; Economics
Recommended Citation
Charles, Brandon, "A Comprehensive Empirical And Simulation Analysis On How Minimum Wage Increases Impact Unemployment" (2022). Senior Independent Study Theses. Paper 10027.
https://openworks.wooster.edu/independentstudy/10027
Disciplines
Computer Sciences | Economics | Political Economy
Keywords
minimum wage, unemployment, simulation
Publication Date
2022
Degree Granted
Bachelor of Arts
Document Type
Senior Independent Study Thesis
© Copyright 2022 Brandon Charles