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NAOSITE : Nagasaki University's Academic Output SITE > Faculty of Economics > Bulletin > Journal of business and economics > Volume 92 No. 4 >

Rationality of the Guideline System in the Japanese Minimum Wage Law

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Title: Rationality of the Guideline System in the Japanese Minimum Wage Law
Authors: Fukaura, Atsuyuki
Issue Date: 25-Mar-2013
Publisher: 長崎大学経済学会 / Economics Society of Nagasaki University
Citation: 經營と經濟, 92(4), pp.1-28; 2013
Abstract: The present Japanese minimum wage system adopts the guidelines system. Under this system all prefectures are classified into several groups. A standard of the rise of minimum wage width is also shown for each group, and the minimum wage of the prefecture is determined by referring the standard. Therefore, in which group each prefecture is ranked has an important economical implication as well as political, because it determines the regional minimum wage indirectly. In this paper, by adapting the statistical technique that is more analytical than an arithmetic method now in use, we examine the validity of the current ranking system. It was shown an overestimation or underestimation are often caused, which results some prefectures are ranked more higher or lower than the real economic condition suggests. Furthermore, its influence on regional economy depends strongly on a skewness of the wage-income distribution.
Keywords: minimum wage / guideline system / wage income distribution
URI: http://hdl.handle.net/10069/31437
ISSN: 02869101
Type: Departmental Bulletin Paper
Text Version: publisher
Appears in Collections:Volume 92 No. 4

Citable URI : http://hdl.handle.net/10069/31437

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