Higher Minimum Wage Increases Teenage Driver Alcohol Related Traffic Accidents And Fatalities

From The Review Of Economic Statistics, "Minimum Wages and Alcohol-Related Traffic Fatalities among Teens" by Scott Adams, University of Wisconsin–Milwaukee, McKinley L. Blackburn, University of South Carolina and Chad D. Cotti, University of Wisconsin–Oshkosh:

Using cross-state variation in minimum wages, we observe a positive relationship between the minimum wage and the number of alcohol-related accidents involving teen drivers. A similar effect is not observed when examining accidents among adults. The results are consistent with a positive income elasticity for alcoholic beverages and driving activities among young people, in particular for consumption out of discretionary income accorded by higher minimum wages.