Summary
There is recognition that social protection policies such as raising the minimum wage can favorably impact health, but little evidence links minimum wage increases to child health outcomes.
Study authors used multi-year data (2003–2012) on national minimum wages linked to individual-level data from the Demographic and Health Surveys (DHS) from 23 low- and middle-income countries (LMICs) that had least two DHS surveys to establish pre- and post-observation periods. Over a pre- and post-interval ranging from 4 to 8 years, minimum wage growth and four nutritional status outcomes among children under 5 years were examined: stunting, wasting, underweight, and anthropometric failure.
Using a differences-in-differences framework with country and time-fixed effects, a 10 percent increase in minimum wage growth over time was associated with a 0.5 percentage point decline in stunting, and a 0.3 percentage point decline in failure. No statistically significant associations between minimum wage growth and underweight or wasting were observed.
The study found similar results for the poorest households working in non-agricultural and non-professional jobs, where minimum wage growth may have the most leverage. Modest increases in minimum wage over a 4- to 8-year period might be effective in reducing child undernutrition in LMICs.
Publication Authors:
- Ninez A. Ponce, PhD, MPP
- Riti Shimkhada, PhD
- Amy Raub
- Jody Heymann
- et al