THE EFFECT OF MINIMUM WAGES ON CONSUMER BANKRUPTCY DURING THE COVID-19 PANDEMIC IN THE USA

Chao Wen

doi:10.62051/67qkd028

Authors

Chao Wen

DOI:

https://doi.org/10.62051/67qkd028

Keywords:

Global Economy; COVID-19 Pandemic; Wages; USA; Minimum Wage; Consumer Bankruptcy.

Abstract

Using a data mining methodology, this study aims to examine the impact of US state minimum wages on consumer bankruptcy trends during the COVID-19 economic crisis by analyzing data on minimum wage levels, bankruptcy filings, and unemployment rates.

Downloads

Download data is not yet available.

References

[1] The American Bankruptcy Institute 2023, Bankruptcy Filing Trends in the United States, The American Bankruptcy Institute, Alexandria.

[2] Collins-Thompson, J, Collins, B & Maher, J 2021, Review of U.S. Business Bankruptcies During the COVID-19 Pandemic. Federal Reserve Bank, Boston.

[3] Dergiades, T, Milas, C & Panagiotidis, T 2022, ‘Unemployment claims during COVID-19 and economic support measures in the U.S.’, Economic Modelling, vol. 113, pp. 1-9, <https://doi.org/10.1016/j.econmod.2022.105891>.

[4] Fay, B 2024, Bankruptcy statistics, Debt.org, 24 April, viewed 6 June 2024, <https://www.debt.org/bankruptcy/statistics/>.

[5] FRED n.d., Federal Reserve Economic Data: Your trusted data source since 1991, FRED, viewed 6 June 2024, <https://fred.stlouisfed.org/release/tables?rid=387&eid=243906&od=2022-01-01#>.

[6] Martos-Vila, M & Shi, Z 2022, ‘Bankruptcy filings during and after the COVID-19 recession,’ ABA Groups, 18 March, viewed 6 June 2024, <https://www.americanbar.org/groups/business_law/resources/business-law-today/2022-march/bankruptcy-filings-during-and-after-the-covid-19-recession/>.

[7] McKibbin, W & Fernando, R 2023, ‘The global economic impacts of the COVID-19 pandemic’, Economic Modelling, vol. 129, p. 106551, .

[8] Medrano-Adán, L & Salas-Fumás, V 2023, ‘Do minimum wages deliver what they promise? effects of minimum wage on employment, output, and income inequality from Occupational Choice Theory’, Economic Analysis and Policy, vol. 80, pp. 366–383, .

[9] Rocket Lawyer n.d., ‘Bankruptcy relief for small businesses hurt by covid-19,’ Rocket Lawyer, viewed 6 June 2024, <https://www.rocketlawyer.com/business-and-contracts/business-operations/corporate-finance/legal-guide/bankruptcy-relief-for-small-businesses-hurt-by-covid-19>.

[10] Statista 2024, Real and nominal value of the minimum wage U.S. 2023, Statista, viewed 6 June 2024, <https://www.statista.com/statistics/1065466/real-nominal-value-minimum-wage-us/>.

[11] Staples, A & Krumel, T 2022, ‘The paycheck protection program and small business performance: Evidence from craft breweries’, Small Business Economics, vol. 61, no.3, pp. 931–956, .

[12] United States Courts 2023, Bankruptcy filings rise 13 percent, United States Courts, viewed 6 June 2024, <https://www.uscourts.gov/news/2023/10/26/bankruptcy-filings-rise-13-percent>.