So far we have learned that Thai minimum-wages have a positive impact on the average wages of covered
employees, and the effect appears to be fairly homogeneous across skill categories. If anything, the effect is
smaller among the less-educated workers. Even workers with tertiary education benefit from changes in the
minimum wage, which appears to signify that minimum wages represent a social norm that sets the stage for
wage negotiations, even among workers who earn wages well above the minimum.
When we moved to the different margins of adjustments used by employers in response to changes
in the minimum wage, we learned that, in spite of higher levels of noncompliance, the largest disemployment