Minimum wage: pros and cons

As a supplement to the articles in ifo Schnelldienst 6/2008, Ronald Bachmann, Thomas K. Bauer, Jochen Kluve and Christoph M. Schmidt of RWI Essen present the results of an enterprise survey on the effects of the minimum-wage ruling in the postal services. Their survey shows that the minimum wage regulation has already led to short-term unemployment, which could become even worse in the long term.