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Minimum Wage and Income Distribution in the Harris-Todaro Model
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Abstract
The purpose of this paper is to examine the effects of a change in the minimum wage on income distribution and employment in a developing economy. The basic framework of our analysis is the original Harris-Todaro model, in which the only factor that is intersectorally mobile is labor. We analyze the effects of a change in the minimum wage on income distribution, sectoral employment and unemployment, both in the framework of a small open economy, and with endogenous commodity-price changes. Our findings differ from the results of the existing literature and shed light on the complex interaction between the urban and the rural sector of a developing economy.
참고문헌 (8)
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- "Factor growth, urban unemployment and welfare under variable returns to scale", 13(4), pp.17~33 (1999)
- "External economies in the International trade theory: A survey", 10(4), pp.708~728 (2002)
- "urban unemployment and underemployment and job search activity in LDCs Journal of Development Economics", pp.165~187 (1975)
- "Incidence analysis of a sector-specific minimum wage in a two - sector Harris-Todaro model Quarterly Journal of Economics", pp.207~224 (1985)
- "“A three factor model in theory ” in Bhagwati et al Balance of Payments and Growth Essays in Honor of C “Short-run capital specificity and the pure theory of international trade “On the Harris-Todaro model with inter-sectoral capital mobility “On the short-run effects of technological progress “The Harris-Todaro model and economies of scale", ” eco(mica), pp.488 1 224 984~510 24 233 998, North-Holland
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