Dear colleagues,

The Department of Economics cordially invites you to the  WU Economic Research Seminar (Department Seminar) on Wednesday, April 28^th, with

Peter Brummund

(University of Alabama)

on

"How do restaurants pay for the minimum wage?"

Abstract: Policies that increase minimum wages do not specify how the raises should be paid for, because the burden is on private actors and not the government.  Using confidential data from a national restaurant chain in the United States, I analyze the minimum wage incidence of all potential payees. I find employees help pay for the increased minimum wages, but not through lower employment levels. I find customers face higher prices, but they reduce their quantity demanded and therefore do not help bear the burden of increased minimum wages. The results also show that restaurant owners help cover the increased wages through lower operating profits.

Date: Wednesday, April 28^th

Time: 4.30 to 6 pm (CET)

Location: Zoom. You can access starting from 4.30 pm using this link.

With best regards,

Harald Oberhofer

---

Univ.-Prof. Dr. Harald Oberhofer

Institute for International Economics

WU Vienna University of Economics and Business

Phone: +43/1/31336-4984

Fax: +43/1/31336-4984

Email: harald.oberhofer@wu.ac.at

Webpage: https://www.wu.ac.at/ie/mitarbeiter/harald-oberhofer/

Austrian Institute of Economic Research (WIFO)

Phone: +43/1/7982601-468

Fax: +43/1/7989386

Email: harald.oberhofer@wifo.ac.at

Webpage: http://www.wifo.ac.at/harald_oberhofer