Abstract
The purpose of this paper is to examine the effect of minimum wage on the youth employment using panel technique in Iran’s manufacturing industries at the 4-digit aggregation level of ISIC classification, during 2001-2006. There is the controversy surrounding minimum wage because the effects of the introduction and increase of minimum wage may differ greatly depending on the labor market structure. In order to capture the effects which various un-observed labor supply and demand factors may have on the youth employment, The Kaitz Index (as the ratio of the minimum wage to the average wage) has been used in our analysis. The obtained results provide the small but positive effect of minimum wage on youth employment.
Keywords
- Youth Employment Search this journal for Youth Employment (opens in a new tab)
- Minimum Wage Search this journal for Minimum Wage (opens in a new tab)
- Kaitz Index Search this journal for Kaitz Index (opens in a new tab)
- Iran's Manufacturing Industries Search this journal for Iran's Manufacturing Industries (opens in a new tab)
- Panel Data Search this journal for Panel Data (opens in a new tab)
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Copyright (c) 2011 Ahmad Jafari Samimi, Saman Ghaderi (Author)

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Keywords
- Youth Employment Search this journal for Youth Employment (opens in a new tab)
- Minimum Wage Search this journal for Minimum Wage (opens in a new tab)
- Kaitz Index Search this journal for Kaitz Index (opens in a new tab)
- Iran's Manufacturing Industries Search this journal for Iran's Manufacturing Industries (opens in a new tab)
- Panel Data Search this journal for Panel Data (opens in a new tab)
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