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Chapter 4

Labor Demand Elasticities

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Figure 4.1: Relative Demand Elasticities

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Figure 4.2: Different Elasticities along a Demand Curve

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Table 4.1: Components of the Own-Wage Elasticity of Demand for Labor: Empirical Using Plant-Level data

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Figure 4.3: Federal Minimum Wage Relative to Wages in Manufacturing,

1938-2007

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Figure 4.4: Minimum Wage Effects: Growing Demand Obscures Job Loss

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Figure 4.5: Minimum Wage Effects: Incomplete Coverage Causes

Employment Shifts

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Figure 4.6: The Production Possibilities for a Hypothetical Society

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Empirical Study: Estimating the Labor Demand Curve: Time Series Data and

Coping with “Simultaneity”