"Differences in regional labour market conditions are still pronounced in Germany, especially between the Eastern and the Western part. Traditional neoclassical models imply that labour mobility should reduce disparities. In contrast, models that include externalities or selective migration...

"Recent labour market reforms in Germany introduced a workfare programme called One-Euro-Jobs with roughly 700,000 means-tested benefit recipients participating per year. In programme design leeway is given to local actors to respond to regional and individual factors. The legislature has set...

"Almost twenty years after German reunification there are still huge income disparities between western and eastern regions in Germany. The main purpose of the paper is to show how social transfer payments reduce these inter-regional disparities. In a first step we examine inequalities in the...

"Previous empirical studies of job creation schemes in Germany have shown that the average effects for the participating individuals are negative. However, we find that this is not true for all strata of the population. Identifying individual characteristics that are responsible for the effect...