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Gilbert Cette, Valérie Chouard and Gregory Verdugo
 
''Minimum wage and the average wage in France: a circular relationship?''
( 2013, Vol. 33 No.3 )
 
 
This paper investigates whether increases in the minimum wage in France have the same impact on the average wage when intended to preserve the purchasing power of the minimum wage as when intended to raise it. We find that the impact of the minimum wage on the average wage is strong, but differs depending on the indexation factor. We also find some empirical evidence of circularity between the average wage and the minimum wage.
 
 
Keywords: Minimum Wage, Average Wage, France
JEL: J3 - Wages, Compensation, and Labor Costs: General
J5 - Labor-Management Relations, Trade Unions, and Collective Bargaining: General
 
Manuscript Received : Jun 10 2013 Manuscript Accepted : Jul 13 2013

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