It is often claimed that the current basis upon which the French social security contributions are calculated, namely the wage bill, penalises employment, by increasing labor costs and consequently encouraging firms to substitute capital for labor. Broadening this basis by incorporating some...

This study investigates the impact of minimum wage (SMIC) increases on the average wage in France. We use two series of average wage: the average hourly blue-collar wage rate (SHBO) and the average wage per capita (SMPT). We combine these series with aggregate data for the overall economy over...