@article{CaliendoFedoretsPreussetal.2022,
  author    = {Caliendo, Marco and Fedorets, Alexandra and Preuss, Malte and Schr{\"o}der, Carsten and Wittbrodt, Linda},
  title     = {The short- and medium-term distributional effects of the German minimum wage reform},
  series = {Empirical economics},
  volume    = {64},
  journal   = {Empirical economics},
  publisher = {Springer},
  address   = {Berlin},
  issn      = {0377-7332},
  doi       = {10.1007/s00181-022-02288-4},
  pages     = {1149 -- 1175},
  year      = {2022},
  abstract  = {This study quantifies the distributional effects of the minimum wage introduced in Germany in 2015. Using detailed Socio-Economic Panel survey data, we assess changes in the hourly wages, working hours, and monthly wages of employees who were entitled to be paid the minimum wage. We employ a difference-in-differences analysis, exploiting regional variation in the "bite" of the minimum wage. At the bottom of the hourly wage distribution, we document wage growth of 9\% in the short term and 21\% in the medium term. At the same time, we find a reduction in working hours, such that the increase in hourly wages does not lead to a subortionate increase in monthly wages. We conclude that working hours adjustments play an important role in the distributional effects of minimum wages.},
  language  = {en}
}