摘要：A series of papers have established that minimum wages have negative employment effects on teenagers in Canada. Most of these papers assume identical coefficients across provinces, though some allow for province-specific effects – either for the minimum wage or other control variables. This paper systematically tests for province-specific effects. We not only find that these effects cannot be rejected, but that omitting them causes the model to fail Ramsey’s test for specification error. Including only some province-specific effects appears to weaken the argument that minimum wages have adverse employment effects. However, this model is dominated by another that includes the full array of province-specific effects, and this latter model – on balance – supports the mainstream view.
关键词：Minimum wages; teenage employment; panel data sets; specification error;province-specific effects.
