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This paper estimates the importance of the political and ideological position of the ruling party in determining the minimum wage in the European Union Member States. To this end, a database that establishes, through dichotomous variables, the position of each government in each country and year is built. Using the panel data methodology, we conclude that the center-right governments tend to have lower relative minimum wages. The same result is found when the policy indexes constructed by the Chapel Hill Expert Survey are used (Bakker, De Vries et al., 2015). Ideology does not discriminate between conservative or liberal governments due to both of them setting  minimum wages at similar levels, though lower than governments of social ideology.

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Francisco Sánchez Vellvé 3575
Scientific production

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Manuel Leon Navarro (Spain) 13825
Scientific production

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