Study of the relationship between the size of the minimum wage with the achieved socio-economic indicators

Abstract

The authors of this article focused on another aspect of poverty and carried out regression analysis of the data influencing the formation of the minimum wage in the labour market in the constituent entities of the Russian Federation. The authors determined the fact of leveling the importance of the federal minimum wage as a tool to influence the level of economic development of regions and reduce poverty. Also, the performed regression analysis revealed a statistically significant effect of poverty and unemployment rates on the decline in real wages in the constituent entity of the Russian Federation. Thus, the analysis showed that the main factors influencing the establishment of the minimum wage in the region are the median wages, the gross regional product of the subject and the subsistence minimum of the TN. Fixed capital investments do not directly affect the level of minimum wages.