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What Has Been the Impact of Pasadena’s Minimum Wage Ordinance??

This study examines the impact of Pasadena's minimum wage ordinance on employment, earnings, and number of establishments, using data from the Quarterly Census of Employment and Wages. It also compares the effects of the California minimum wage and the local minimum wage increment in Pasadena.

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What Has Been the Impact of Pasadena’s Minimum Wage Ordinance??

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  1. What Has Been the Impact of Pasadena’s Minimum Wage Ordinance?? Ed Leamer Tina Cui Jonathan Gu UCLA February 2019 Leamer Slides, Feb 11, 2019

  2. The City of LA Schedule Gets to $15 a year and a half before California Leamer Slides, Feb 11, 2019

  3. The Local Increment is Small and VariableThe Pasadena Increment: Shaded Through 2018q2 Our data Leamer Slides, Feb 11, 2019

  4. We have allowed for two effects of minimum wages • The prevailing local minimum wage equal to the California minimum wage plus the local increment (City of LA and Pasadena) • This governs the local hourly wage rate. • The local increment to the minimum wage • This is designed to explore the possibility that the local minimum wage increment can be escaped by moving work to a nearby location that does not have the local minimum wage. (e.g. Glendale or La Cañada Flintridge) Leamer Slides, Feb 11, 2019

  5. We Have Studied the Local Geography of Minimum Wages • Contrasting the zip codes with and without the local minimum wage increment. (Pasadena versus Glendale.) • Contrasting the zip codes with high incomes with zip codes with low incomes. Leamer Slides, Feb 11, 2019

  6. We have studied the data by industry.Pasadena+ Industry Detail Leamer Slides, Feb 11, 2019

  7. A rate of $12 per hour already covers a lot of workers in many sectors in California overall. Leamer Slides, Feb 11, 2019

  8. We Rely Primarily on the Quarterly Census of Employment and Wages (QCEW No Hours! No Individual Worker Records! No Access to Individual Enterprise Records! Leamer Slides, Feb 11, 2019

  9. To Form Our Opinions We Have Estimated a Variety of Different Models And Also Examined Many Graphs Contrasting the two regions, this image suggests that the California minimum wage is not slowing growth in employment but the Pasadena MW has ended the growth. Contrasting the two regions, this image suggests that both the California and the Pasadena MW raise wages in Pasadena. Leamer Slides, Feb 11, 2019

  10. A visual comparison of California with Other States supports the conclusion that the California minimum wage has increased earnings with no loss of employment in limited service restaurants, SO FAR! Leamer Slides, Feb 11, 2019

  11. The Images for Hair, Nail and Skincare Salons Suggest a Big Impact of the California MW on Number of Enterprises Leamer Slides, Feb 11, 2019

  12. Estimated Effects of An Increase in the California Minimum Wage from $13.25 to $15.00 Earnings Per Worker Employment Number of Establishments Leamer Slides, Feb 11, 2019

  13. Estimated impact of future increase in the Pasadena local minimum wage from $13.25 to $15.00 compared with holding it at $13.25. Earnings Per Worker Employment Number of Establishments Leamer Slides, Feb 11, 2019

  14. We encouraged the data to speak, but they barely whispered. Leamer Slides, Feb 11, 2019

  15. But Keep In Mind There is a minimum wage level that does more harm than good. Leamer Slides, Feb 11, 2019

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