ANALYZING THE IMPACT OF INCREASING MINIMUM WAGE ON SKILLED AND UNSKILLED LABOR IN IRAN: A CGE APPROACH

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MANZOOR DAVOOD; BAHALOO HOOREH MARZIYEH

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Journal: Journal of Quantitative Economics Year:2015 | Volume:12 | Issue:3 (46) Page(s): 69-93

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Title

ANALYZING THE IMPACT OF INCREASING MINIMUM WAGE ON SKILLED AND UNSKILLED LABOR IN IRAN: A CGE APPROACH

Author(s)

MANZOOR DAVOOD | BAHALOO HOOREH MARZIYEH | Issue Writer Certificate

Keywords

MINIMUM WAGEQ2

UNSKILLED LABORQ2

SKILLED LABORQ2

COMPUTABLE GENERAL EQUILIBRIUM MODELQ2

Abstract

The aim of this paper is to study the effect of MINIMUM WAGE increase on employment in Iran. For this purpose, a multi-sector, multi-labor COMPUTABLE GENERAL EQUILIBRIUM MODEL which includes some important assumptions of the labor market such as imperfect mobility of labor, labor-leisure choice, MINIMUM WAGE and substitution between skilled and UNSKILLED LABOR has been designed. Two types of labor-skilled and unskilled - are considered in this model. The model has been calibrated based on 2001 Micro Consistent Matrix. Results show that MINIMUM WAGE increase will decrease UNSKILLED LABOR employment in all sectors while it will increase SKILLED LABOR employment in agriculture and service sectors. It will also decrease SKILLED LABOR employment in other sectors.

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APA: Copy

MANZOOR, DAVOOD, & BAHALOO HOOREH, MARZIYEH. (2015). ANALYZING THE IMPACT OF INCREASING MINIMUM WAGE ON SKILLED AND UNSKILLED LABOR IN IRAN: A CGE APPROACH. JOURNAL OF QUANTITATIVE ECONOMICS (QUARTERLY JOURNAL OF ECONOMICS REVIEW), 12(3 (46)), 69-93. SID. https://sid.ir/paper/110727/en

Vancouver: Copy

MANZOOR DAVOOD, BAHALOO HOOREH MARZIYEH. ANALYZING THE IMPACT OF INCREASING MINIMUM WAGE ON SKILLED AND UNSKILLED LABOR IN IRAN: A CGE APPROACH. JOURNAL OF QUANTITATIVE ECONOMICS (QUARTERLY JOURNAL OF ECONOMICS REVIEW)[Internet]. 2015;12(3 (46)):69-93. Available from: https://sid.ir/paper/110727/en

IEEE: Copy

DAVOOD MANZOOR, and MARZIYEH BAHALOO HOOREH, “ANALYZING THE IMPACT OF INCREASING MINIMUM WAGE ON SKILLED AND UNSKILLED LABOR IN IRAN: A CGE APPROACH,” JOURNAL OF QUANTITATIVE ECONOMICS (QUARTERLY JOURNAL OF ECONOMICS REVIEW), vol. 12, no. 3 (46), pp. 69–93, 2015, [Online]. Available: https://sid.ir/paper/110727/en

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