Higher Wages, Less Gym Time? The Effects of Minimum Wages on Time Use

Abstract

This study examines the effects of minimum wages on time use. Analyzing data from the American Time Use Survey from 2003 to 2017, I investigate the role of time allocated toward exercise and other health‐enhancing activities as a potential mechanism underlying the link between minimum wages and health. The study finds that a $1 increase in minimum wages is associated with reductions in exercising and total personal health time by 13 and 20 minutes during the week, respectively. This decline in health time is fully reallocated toward additional leisure time. The results are largely driven by males and employed individuals.

The effects of Medicaid expansion on home production and childcare

“…On the contrary, another study concluded that home production decreases when unemployment insurance benefits increase, which the authors interpreted as a substitution between the two mechanisms against loss of earnings during unemployment spells (Guler & Taskin, 2013). Still others found that increases in the minimum wage increase leisure time but decrease exercise (Lenhart, 2019). A study of macroeconomic conditions on time spent with children found that increased unemployment rates increase the amount of enriching childfather time in families with young children (Bauer & Sonchak, 2017).…”

The minimum wage and parent time use

“…In response to greater income, or greater incentives for work, one parent may specialize in earning income whereas the other may decrease work and increase the time spent with children. This may account for the pattern of increased child care time among non-employed adults found by Lenhart ( 2019 ). Further, never-married individuals and individuals of color are more likely to be minimum wage earners than their counterparts (Sawhill & Karpilow, 2014 ) and time use varies by marital and employment status (Kalil et al, 2014 ; Pepin et al, 2018 ).…”

“…Improved resources, reduced stress, and changes in time use may be mechanisms underlying the benefits of a policy like minimum wage, but to date, little research has examined how the minimum wage affects non-employment time. One exception is Lenhart ( 2019 ), who used data from the American Time Use Survey (ATUS) to examine the effects of changes in effective state minimum wage rates on health-related time use from 2003 to 2017, finding increased leisure time, and that non-employed individuals living with children spent an additional 37 min in total time caring for children (Lenhart, 2019 ). However, the study examined only total child care time, while developmental theory and science emphasizes the importance of developmental or interactive time in enriching activities such as playing with or reading to children or helping with homework (Committee on Integrating the Science of Early Childhood Development Youth, and Families and Press, 2000 ; Kalil et al, 2012 ).…”

“…Despite the growing evidence of its benefits, very few studies have investigated the effects of minimum wage on time use outside of employment. Recent exception finds that increases in the minimum wage may change leisure, health-related time, and overall time in child care (Lenhart, 2019 ) and in enriching child care activities, particularly by Black mothers (Gearhart et al, 2022 ). However, developmental science demonstrates that the level and type of activities that parents and children are engaged in matter to children’s subsequent outcomes as well as the enjoyment parents derive (Caucutt et al, 2020 ; Price & Kalil, 2019 ), but the effects on specific types of parent-child engagement, or in activities related to children’s development that are not spent together (e.g., arranging activities), are not understood.…”

“…In projecting the effects of a federal increase to $10.10 per hour, the Congressional Budget Office (CBO) predicted a small (3%) decrease in employment among those affected, although the effects of higher minimum wage on time spent working are not entirely clear. Some studies find little evidence that increases in the minimum wage affects employment or time spent working (Card & Krueger, 1994 ; Cengiz et al, 2019 ; Dube et al, 2010 ; Lenhart, 2019 ) with others finding job losses or reductions in hours (Jardim et al, 2018 ; Neumark, 2018 ; Sabia, 2008 ). While increased time spent working may come at the expense of time spent with children, research finds that despite mothers’ dramatic increase in paid work hours over the last quarter-century, their time with children has remained surprisingly consistent (Bianchi, 2000 ; Sayer et al, 2004).…”