Original title: The U.S. low-wage structure: a McWage comparison
Authors: Ashenfelter, O. ; Jurajda, Štěpán
Document type: Research reports
Year: 2024
Language: eng
Series: CERGE-EI Working Paper Series, volume: 785
Abstract: Thanks to standardized work protocol and technology of McDonald’s restaurants, the hourly wage of McDonald’s Basic Crew enables wage comparisons under near-identical skill inputs and hedonic job conditions. McWages capture labor costs in entry-level jobs, while the Big Macs (earned) Per Hour (BMPH) index measures corresponding purchasing power of wages. We document large and growing geographical wage differences in standardized jobs using data covering most U.S. counties during 2016-2023. Before the Covid-19 pandemic, there was no BMPH growth where minimum wages stayed constant, but the pandemic wage increase, which diminished the importance of minimum wages, was stronger in these areas.
Keywords: labor costs; purchasing power; wage comparisons

Institution: Economics Institute AS ČR (web)
Document availability information: Fulltext is available at external website.
External URL: https://www.cerge-ei.cz/pdf/wp/Wp785.pdf
Original record: https://hdl.handle.net/11104/0355103

Permalink: http://www.nusl.cz/ntk/nusl-622965


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