The effect of doubling the minimum wage and decreasing taxes on inflation in Mexico

C-Tier

Journal: Economics Letters

Year: 2020

Volume: 189

Issue: C

Authors (2)

Campos-Vazquez, Raymundo M. (not in RePEc) Esquivel, Gerardo (Colegio de México)

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

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Abstract

We analyze the effect on inflation of doubling the minimum wage and cutting the value-added tax in half. Annual inflation decreased by 1.8 percentage points, suggesting that the minimum wage increase had a limited or even null effect on prices.

The effect of doubling the minimum wage and decreasing taxes on inflation in Mexico

Authors (2)

Abstract

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