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This paper investigates a unique policy designed to maintain employment during the privatization of East German firms after the fall of the Iron Curtain. The policy required new owners of the firms to commit to employment targets, with penalties for non-compliance. Using a dynamic model, we...
Persistent link: https://www.econbiz.de/10014337877
Persistent link: https://www.econbiz.de/10002545132
Barro (1991), except that migration out of East Germany has not slowed down. I document that in particular the 18-29 year … old are leaving East Germany, and that the emigration has accelerated in recent years. I document that low wages, high … unemployment and increasing reliance on social security persist across wide regions of East Germany together with these migration …
Persistent link: https://www.econbiz.de/10012464095
This paper advances the hypothesis that the EUS crisis was caused by German unification. The unification has implied a massive resource demand which parallels the US resource demand following Reagan's tax reforms in the eighties. The resource demand revised the German interest rates relative to...
Persistent link: https://www.econbiz.de/10012472989
The paper comments on the economic effects of the German unification. Apart from discussing the unification in an international perspective, analyzing the distributional consequences, and pointing to structural adjustment problems, it emphasizes the distinction between the frequently cited money...
Persistent link: https://www.econbiz.de/10012475424
We develop a model of firm learning in volatile markets with noisy signals and test its predictions using historical data from the Ifo Institute's Business Climate Survey. We find that firms' forecasts improve as they age. We also exploit German Reunification as a natural experiment where firms...
Persistent link: https://www.econbiz.de/10012459454
to East Germany in 1989 experience a persistent rise in their personal incomes after the fall of the Berlin Wall … within a given West German region invest in East Germany. As a result, West German regions which (for idiosyncratic reasons … capita in the early 1990s. A one standard deviation rise in the share of households with social ties to East Germany in 1989 …
Persistent link: https://www.econbiz.de/10012461472
This paper analyzes the heterogeneous effects of monetary policy on workers with differing levels of labor force attachment. Exploiting variation in labor market tightness across metropolitan areas, we show that the employment of populations with lower labor force attachment--Blacks, high school...
Persistent link: https://www.econbiz.de/10012814426
Persistent link: https://www.econbiz.de/10003655859
This paper deals with the reform to labor market regulation implemented by Chile during the last twenty years. We … concentrate on the reform to job security, on the decentralization of the wage bargaining process, and on the reduction in payroll …' to U.S' levels. We argue that the reduction of payroll taxes (within the context of the social security reform), and the …
Persistent link: https://www.econbiz.de/10012471121