Effects of the Minimum Wage on Infant Health
The minimum wage has increased in multiple states over the past three
decades. Research has focused on effects on labor supply, but very
little is known about how the minimum wage affects health, including
children’s health. We address this knowledge gap and provide an
investigation focused on examining the impact of the effective state
minimum wage rate on infant health. Using data on the entire
universe of births in the US over 25 years, we find that an increase
in the minimum wage is associated with an increase in birth weight
driven by increased gestational length and fetal growth rate. The
effect size is meaningful and plausible. We also find evidence of an
increase in prenatal care use and a decline in smoking during
pregnancy, which are some channels through which minimum wage can
affect infant health.
By George Wehby, Dhaval Dave, Robert Kaestner – #22373 (CH HC HE LE LS PE)