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evidence · does the wage follow the cost — kodata

Column 2: evidence · does the wage follow the cost

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Open data, followed all the way down to one person inside it.

Every piece here starts with a public dataset and ends with a story. The numbers can be checked: any figure set in mono opens its own evidence in a column to the right, so you never have to leave the sentence you are reading to find out whether it is true.

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03pieces
271occupations
4,810teenagers
34provinces

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evidence · does the wage follow the cost

Both variables in logs, so the coefficient reads as an elasticity: the percentage the minimum wage moves for each percent the poverty line moves. 238 province-years, 34 provinces, 7 years.

specificationβsese, clusteredt95% CI
province fixed effects+1.1460.0340.042+27.1[+1.063, +1.228]
province + year fixed effects−0.2620.2060.218−1.2[−0.689, +0.164]

Adding the year effect is the whole result. It removes what happened to the entire country at once, and with it the entire apparent relationship.

the same question asked across provinces instead of within them

yearnrρelasticity
201534+0.557+0.510+0.64623.4%
201634+0.471+0.354+0.56816.6%
201734+0.522+0.426+0.52822.7%
201834+0.531+0.452+0.51922.9%
201934+0.542+0.465+0.51524.2%
202034+0.517+0.416+0.49721.9%
202234+0.496+0.412+0.49321.1%

In any single year, cost of living accounts for a median 22.7% of why provincial minimum wages differ. The other ~77% is something else — bargaining, politics, precedent, the previous year’s number plus a formula.