A 2004 meta‐analysis from IZA found no evidence of significant increases in prices after minimum wage increases.
Similarly, a 2020 study in the journal Economics Letters found that inflation declined after raising the minimum wage:
Analysis suggests that the minimum wage increase had little or no effect on prices.
A paper from the Upjohn Institute corroborates these results. A 2021 paper from Princeton did find small price effects, but notes that they were outweighed by the increase in wages, leading to a strong increase in overall incomes for low‐wage workers.
A 2004 meta‐analysis from IZA found no evidence of significant increases in prices after minimum wage increases.
Similarly, a 2020 study in the journal Economics Letters found that inflation declined after raising the minimum wage:
A paper from the Upjohn Institute corroborates these results. A 2021 paper from Princeton did find small price effects, but notes that they were outweighed by the increase in wages, leading to a strong increase in overall incomes for low‐wage workers.