The Minimum Wage, Self-Employment, and the Online Gig Economy
Journal of Labor Economics
2023
This paper estimates the effect of minimum wage increases on work that is not covered by minimum wage laws. I find that minimum wage increases in the early 2000s resulted in small reductions in engagement in traditional self-employment. Following the development of the online gig economy in the 2010s, a 10% increase in the minimum wage increased the number of nonemployer establishments classified as transportation and warehousing services by approximately 2.7%. The counties most likely to exhibit a positive relationship between the minimum wage and participation in uncovered work are those with low labor market concentration and active Uber marketplaces.
- DOI
- 10.1086/719690
- Volume
- 41 (1)
- Pages
- 103-127
- Language
- en
- Export
- BibTeX
- Sources
- openalex crossref