Deserving poor and the desirability of a minimum wage

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3 Scopus citations


This paper provides a normative justification for the use of a minimum wage as a redistributive tool in a competitive labor market. We show that a government interested in improving the wellbeing of the deserving poor, while being less concerned with their undeserving counterparts, can use a minimum wage to enhance the efficiency of the tax-and-transfer system in attaining this goal.

Original languageEnglish
Article number6
JournalIZA Journal of Labor Economics
Issue number1
StatePublished - 1 Dec 2018


  • Deserving poor
  • Minimum wage
  • Redistribution
  • Welfare

ASJC Scopus subject areas

  • Industrial relations
  • Economics and Econometrics
  • Organizational Behavior and Human Resource Management


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