Working Papers
Effects of Minimum Wage on the Formal and Informal Sector: Evidence from Vietnam - Job Market Paper
[Paper]
Abstract: This paper investigates the impacts of minimum wage policies in developing countries with a high share of people working in the informal sector, which is not covered by labor regulations. I exploit the 2008 introduction of regional variation in minimum wage levels in Vietnam and use individual-level survey data from 2004 to 2014 to examine the effects on employees in the formal and informal sectors. Using an event study design, this paper reveals a significant increase in labor force participation four years after an increase in the minimum wage, mainly driven by increased in informal employment. However, I observe negative short-run effects on formal sector employment, and fewer working hours in workers' primary jobs. I also find an increased likelihood of formal workers having informal secondary jobs. However, I do not observe any consistent reallocation of workers between formal and informal sectors across sectors and in and out of the workforce.
Work in progress
Unification Minimum Wage Policy and Labor Market Structure
Abstract: This paper examines the impact of minimum wage increases on labor market structure in regions characterized by high Foreign Direct Investment (FDI) levels. To do that, this paper exploits the unification of the minimum wage policy between Vietnam's private and foreign sectors in 2012 by applying a difference-in-difference approach. The preliminary results demonstrate the drop in household business is offset by the increase in private employment in a high FDI region. The effect is more profound in manufacturing, where most FDI jobs are located. Additionally, the minimum wage induces the migration decision and work in household business, and less likely to have a job in the foreign sector.
The subjective well-being consequences of short-term displacement (with Azizbek Tokhirov, Riga Qi)
Abstract: How does forced displacement affect the well-being of the victims upon their return? Using individual-level data from Kyrgyzstan spanning 2006 to 2019,
we examine the welfare impact of a four-day inter-ethnic conflict. We find that short-term displacement results in significant loss of well-being among the targeted ethnic group, but only when they lacked support networks during the event, where the most pronounced negative effects concern satisfaction with dwelling, health, security, and future outlook. The quality of life or displaced individuals eventually converges to that of the non-displaced, however, the recovery takes years.
The effect of Vietnamese immigration on the U.S shrimp industry – Gulf of Mexico
This study examines the impact of Vietnamese immigrant labor supply shocks on wages in the U.S. Gulf of Mexico shrimp fishery from 1979 to 1990. Leveraging the post-Vietnam War immigration wave as a natural experiment, it compares shrimp catch-per-day-fishing in Texas and Louisiana (treatment) to Florida (control), where fewer Vietnamese settled. Using species-specific shrimp catch data (brown, white, pink) aligned with state fishing patterns, a difference-in-differences analysis reveals a significant but temporary 30–50% decline in real wages within the shrimp fishery during the initial years of the immigrant influx.
Mining accidents and labor market outcomes in the United States (Riga Qi, Azizbek Tokhirov) (Early stage)