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Are Minimum Wages a Silent Killer? New Evidence on Drunk Driving Fatalities

Year: 2018

Type: article

Abstract: In volume 94 of this REVIEW, Adams, Blackburn, and Cotti (ABC), using Fatal Accident Reporting System data from 1998 to 2006, find that a 10% increase in the minimum wage is associated with a 7% to 11% increase in alcohol-related fatal traffic accidents involving teen drivers. We find this result does not hold when the analysis period is expanded to include 1991 through 2013. In addition, auxiliary analyses provide no support for income-driven increases in alcohol consumption, the primary mechanism posited by ABC. Together, our results suggest that minimum wage increases are not a silent killer.

Source: The Review of Economics and Statistics

DOI: 10.1162/rest_a_00761

Authors: Joseph J. Sabia, M. Melinda Pitts, Laura M. Argys

Institutions: University of New Hampshire, San Diego State University, Federal Reserve Bank of Atlanta, University of Colorado Denver

Language: English

Topic: Labor market dynamics and wage inequality

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Decent work and economic growth, Good health and well-being

Open Access status: hybrid

OpenAlex ID: W2883976172

FWCI: 4.869

Cites: 28

Cited by: 31

Related to: 10