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Table 3 Employment effects of min. wages on non- prod. workers

From: Do minimum wages affect employment? Evidence from the manufacturing sector in Indonesia

Dependent variable: Log (Number of paid non-production workers)
  All firms Small firms Large firms
  (1) (2) (3) (4) (5) (6)
Log (Min. Wage) −0.0615*** −0.0554** −0.0649*** −0.0779*** 0.0105 0.0635
  (0.0206) (0.0250) (0.0213) (0.0263) (0.0409) (0.0494)
Log (Firm Age)   0.1942***   0.0954***   0.2516***
   (0.0098)   (0.0100)   (0.0210)
Foreign Share   0.0012***   0.0017***   0.0000
   (0.0003)   (0.0004)   (0.0004)
Export Share   0.0007***   0.0006***   0.0003**
   (0.0001)   (0.0001)   (0.0001)
Govt. Share   0.0007**   0.0007***   0.0003
   (0.0003)   (0.0002)   (0.0004)
Fixed Effects Firm Firm Firm Firm Firm Firm
Year Effects Yes Yes Yes Yes Yes Yes
Observations 245,963 168,741 179,746 121,950 64,414 45,568
Number of firms 36,893 34,504 31,821 29,389 9159 8762
R-squared 0.873 0.876 0.814 0.821 0.761 0.773
  1. Notes: The sample includes only firms with non-zero production and non-production workers, firms that continuously observed from year to year, and firms observed more than once during the sample period (1993–2006). Columns (2) (4) and (6) have fewer observations than other columns because the additional regressors have missing values in 2001, 2002, 2003, and 2005. Robust standard errors clustered by firm are reported in parentheses. ***p < 0.01, **p < 0.05, *p < 0.1