Honors Project On-Campus Access Only
Although there is much research on the effects of minimum wage increases on workers and low-income families, there is little that investigates how these effects persist or dissipate over time. Using an event-study specification, I investigate how minimum-wage changes affect family incomes at various multiples of poverty, as well as eligibility for and participation in the Supplemental Nutrition Assistance Program (SNAP). I compare the latter effect to that obtained from a state panel regression approach used in previous literature. I find evidence that minimum-wage increases reduce the prevalence of low family income and SNAP participation, but that these effects dissipate by 5 quarters post-increase. At its peak, the effect on SNAP participation is similar in size to that obtained from a state-panel specification.
Baker, Camille, "The Effects of the Minimum Wage on Social-Safety-Net Dependence Over Time" (2020). Economics Honors Projects. 106.
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