The controversy over the minimum wage and the wage rate in the Brazilian economy: new evidence
Abstract
A few articles appeared recently in the Brazilian economic literature discussing
the role played by the minimum wage in the determination of the wage rate in the formal
sector of the economy. This paper tries to shed some light on the discussion through the utilization
of new empirical evidence. We end up concluding that minimum wage is very important
to determine the wage rate in Brazil.
JEL Classification: J31; J38.
Keywords: Wage minimum wage wage structure