This paper explores the effects of a large increase in the national minimum wage in Turkey on firms’ exit rates from the formal economy. The analysis exploits a unique, linked employer-employee panel data set of the universe of registered firms in all sectors of the economy. ... See More + The causal impact of the minimum wage hike is estimated by using pre-policy information on the full distribution of wages in registered firms as a measure of exposure to treatment, and by implementing a difference-in-difference estimation strategy. The minimum wage hike is found to increase firms’ exit rates from the formal economy by 12 percent. This suggests that firm exits attributable to the minimum wage hike could account for up to one-third of the total formal employment destruction that occurred between 2015 and 2016. The minimum wage effect on exit rates is found to be larger among firms with low productivity levels before the policy change, and in sectors where profit margins are low. A range of placebo tests and robustness checks indicate that these findings are not driven by trends in unobservable characteristics correlated with exposure to the minimum wage hike.  See Less -

Document Type: Policy Research Working Paper Report No.: WPS8749 Document Date: FEB 15, 2019

Author: Acar,Aysenur; Bossavie,Laurent Loic Yves; Makovec,Mattia Disclosure Status: Disclosed

Document Type: Procurement Plan Report No.: STEP17209 Document Date: FEB 11, 2019

Author: Faruk Sar? Disclosure Status: Disclosed

Since the introduction of the KiwiSaver scheme in New Zealand in 2006, several countries have implemented, or are in the process of implementing, voluntary funded pension systems with automatic enrollment features. ... See More + Since most of the literature has focused on countries with the common law tradition, including the United Kingdom and the United States, this note analyzes cases of countries with the civil code tradition, including Turkey, Poland, the Russian Federation, Chile, Brazil, and the Province of Quebec in Canada. This sample includes mostly emerging economies, with reforms at different stages, from those that have already been completed to those that are about to start discussions in their parliaments. Although they are not a substitute for necessary parametric reforms, automatic enrollment schemes offer the possibility of improvements in future retirement income for a significant part of the labor force. This note stresses that the paternalistic approach of automatic enrollment schemes imposes a great degree of responsibility on governments and requires careful consideration of the design of the system, including the industrial organization of the pension fund industry and default investment strategies. Sufficient time and resources for preparing communication and educational campaigns has played a key role in achieving high rates of participation.  See Less -

Document Type: Policy Research Working Paper Report No.: WPS8726 Document Date: FEB 05, 2019

Author: Rudolph,Heinz P. Disclosure Status: Disclosed

Document Type: Procurement Plan Report No.: STEP16841 Document Date: FEB 01, 2019

Author: Ahmet Anil Disclosure Status: Disclosed

Document Type: Procurement Plan Report No.: STEP16738 Document Date: JAN 30, 2019

Author: Ahmet Anil Disclosure Status: Disclosed

Document Type: Agreement Report No.: Document Date: JAN 23, 2019

Author: LEGKL Disclosure Status: Disclosed

Document Type: Implementation Status and Results Report Report No.: ISR35471 Document Date: JAN 15, 2019

Author: Masic,Joanna Mclean Disclosure Status: Disclosed

Document Type: Procurement Plan Report No.: STEP15841 Document Date: DEC 28, 2018

Author: Nevin Erturk Disclosure Status: Disclosed

Document Type: Side Letter Report No.: Document Date: DEC 26, 2018

Author: LEGKL Disclosure Status: Disclosed

Document Type: Agreement Report No.: Document Date: DEC 24, 2018

Author: LEGKL Disclosure Status: Disclosed