Manitoba and Saskatchewan have similar provincial minimum wages around $11.75 per hour. Suppose in 2021, Manitoba lowers

[answerhappygod]

Manitoba and Saskatchewan have similar provincial minimum wages
around $11.75 per hour. Suppose in 2021, Manitoba lowers its
minimum wage to $10 per hour while Saskatchewan’s minimum wage does
not change. We observe from survey data that average annual hours
among workers with less than high school education is 1532 hours in
Manitoba in 2020 and 1520 in Saskatchewan in 2020, then 1515 in
Manitoba in 2022 and 1635 in Saskatchewan in 2022. From this
information, what would be the estimated causal effect of the
minimum wage increase on labor supply? How confident can we be that
this estimate is yielding a true causal effect? Should we be
worried that this estimate is biased? Discuss.