+++ BETA VERSION +++

The general equilibrium effects of your minimum wage in Germany

This page lets you calculate the aggregate effects of your desired federal minimum wage based on the quantitative spatial general equilibrium model by Ahlfeldt, Roth, Seidel (2021): Optimal minimum wages [LINK].  This general equilibrium model accounts for effects on wages, employment probabilities, goods prices, housing rents, worker-firm matching, commuting cost, migration, and aggregate labour supply. The comparison is made to the counterfactual of no minimum wage. To compare to the current minimum wage, just enter the current rate and year and compare the results.

1. Enter your desired minimum wage in €/h, the year in which it should become effective, and press "submit"

2. Go to the "results" page

3. Wait for a couple of minutes and refresh (parameter values will update).