Garloff, Alfred - Institut für Arbeitsmarkt- und Berufsforschung (IAB) - 2008
setting. I review new developments in search theory and discuss the influence of minimum wages on wages and employment under … market in equilibrium search models. In the homogeneous case minimum wages do not affect employment, while in the … heterogenous case theoretical results are mixed. There is no unique connection between unemployment and minimum wages, and the …