Sharper teeth, stronger bite needed for US minimum wage laws
New research from MIT Sloan shows stiffer penalties are needed to incentivize employers to pay workers a minimum wage.
Faculty
Anna Stansbury is the Class of 1948 Career Development Assistant Professor and an Assistant Professor of Work and Organization Studies at the MIT Sloan School of Management, and is in the core faculty of the MIT Institute for Work and Employment Research. She is also a nonresident senior fellow at the Peterson Institute for International Economics.
Stansbury’s research focuses on topics in labor and macro economics, particularly on issues to do with inequality, power, and institutions in the labor market. In recent work, she has studied the extent of employer concentration in the US labor market, the macroeconomic effects of the decline of worker power in the US, and the incentives for minimum wage non-compliance in the US and the UK.
Stansbury holds a BA in economics from Cambridge University, a Master's in Public Policy from the Harvard Kennedy School, and an MA and PhD in economics from Harvard University.
More information about her research can be found on her personal website at annastansbury.com
Featured Publication
"Employer Concentration and Outside Options."Schubert, Gregor, Anna Stansbury, and Bledi Taska, MIT Sloan Working Paper 6465-21. Cambridge, MA: MIT Sloan School of Management, January 2021.
Featured Publication
"The Declining Worker Power Hypothesis: An Explanation for the Recent Evolution of the American Economy."Anna Stansbury and Lawrence H. Summers. In Brookings Papers on Economic Activity, Washington, D.C.: April 2020.
Stansbury, Anna and Kyra Rodriguez, MIT Sloan Working Paper 7130-24. Cambridge, MA: MIT Sloan School of Management, August 2024.
Stansbury, Anna. VoxEU, April 15, 2024.
Stansbury, Anna, Working Paper. March 2024.
Weinberg, Nyasha, Dan Turner, Anna Stansbury, Esme Elsden, and Ed Balls, Working Paper. February 2024.
New research from MIT Sloan shows stiffer penalties are needed to incentivize employers to pay workers a minimum wage.
A cost-benefit analysis demonstrates how minimum wage enforcement structures in the US and the UK incentivize noncompliance and quantify the policy changes needed to protect workers.
"Unscrupulous firms that break the law undermine the businesses that want to be ethical."
As the share of graduates in the UK workforce has expanded over the past 25 years, the wage premium they command has fallen.
"It's a travesty that in the richest country in the world, and in the richest period in global history, so many workers are struggling."