The Effect of State Minimum Wage Increases on Nonprofit Organizations

被引:5
|
作者
Balsam, Steven [1 ,3 ]
Mao, Connie X. [1 ]
Xu, Min [1 ]
Zhang, Yinge [2 ,4 ]
机构
[1] Temple Univ, Fox Sch Business, Philadelphia, PA USA
[2] Shanghai Int Studies Univ, Sch Business & Management, Philadelphia, PA USA
[3] Temple Univ, Fox Sch Business, Dept Accounting, Philadelphia, PA 19122 USA
[4] Shanghai Int Studies Univ, Sch Business & Management, Shanghai 200083, Peoples R China
关键词
minimum wage; nonprofit; employment; information technology; exit; INTERNAL-REVENUE-SERVICE; FOR-PROFIT; EMPLOYMENT; LABOR; PAID; COMPENSATION; SUBSTITUTION;
D O I
10.1177/08997640221138266
中图分类号
D58 [社会生活与社会问题]; C913 [社会生活与社会问题];
学科分类号
摘要
The impact of minimum wage increases on employment has been extensively examined with mixed results. We extend the literature by hypothesizing and showing a differential impact of state-level minimum wage increases on nonprofit organizations as opposed to for-profit organizations. While we find that increases in minimum wages reduce employment growth in both types of organizations, this decrease is substantially larger for nonprofit organizations. We also find that investment in automation, that is, information technology, rises in nonprofits postminimum wage increase, consistent with the substitution of capital for labor. Minimum wage increases also increase the likelihood of nonprofit exit. JEL: J38, J68, L
引用
收藏
页码:1722 / 1752
页数:31
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