The question of whether two drugs - namely alcohol and tobacco - are used as complements or substitutes is of crucial interest if side-effects of anti-drug policies are considered. Numerous papers have empirically addressed this issue by estimating demand systems for alcohol and tobacco and...

Social assistance and unemployment assistance, which provide means tested income support (social welfare) without pre-specified time limits, are viewed as one important reason for the persistently high level of unemployment in Germany by many economists. In order to increase work incentives and,...

Germany1, as most other European countries, has been plagued by a persistently high level of long?term unemployment since the early 1980's. In contrast, long? term unemployment is much less of a problem in the United States. One potential reason for the different structure of unemployment...

We analyze the effectiveness of publicly financed training and retraining programs in east Germany as measured by their effects on individual re-employment probabilities after training. These are estimated by discrete hazard rate models on the basis of individual-level panel data. We account for...

This paper analyses the developments in the returns to education in West Germany for the period from 1984 to 1997. Based on simple Mincer-type wage equations, we estimate a return of about 8% for men and 10% for women, and these returns have remained remarkably stable over the period. On the...

Using a Mincer-type wage function, we estimate cohort effects in the returns to education for West German workers born between 1925 and 1974. The main problem to be tackled in the specification is to separately identify cohort, experience, and possibly also age effects in the returns. For women,...

This paper compares technologies across space and time on the basis of factual and counterfactual substitution elasticities and argues that differences in estimated substitution elasticities should be decomposed into two counterfactual components. While the first component is designed to...

We develop a structural multi-factor labour demand model which distinguishes between eight labour categories including non-standard types of employment such as marginal employment. The model is estimated for both the number of workers and total working hours using a new panel data set. For...