Impact of Minimum Wage on Industrial Exports in Jordan

Ayman A. Al-khatib, Nahil Saqfalhait

Abstract


The aim of this study is to measure the effect of the minimum wage on industrial exports by using panel data for the period 1999-2016. The study finds that industrial exports is determined by a combination of factors, the minimum wage not one of them, and thus increasing the level of the current minimum wage to higher levels does not affect industrial exports in Jordan. The study concluded that the minimum wage level must be revised as long as it does not cover the worker's basic needs of food and housing, thus raising the level of the current minimum wage to higher levels that can achieve many advantages Thus, raising the minimum wage represents a step towards reforming the market for Jordanians, and increase their demand for unwanted jobs.


Keywords


Minimum Wage, Industrial Exports, Jordan

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References


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