After the fall of the Berlin wall, the total fertility rate in East Germany tumbled from 1.7 (1989) to a stunning 0 … s perspective. Economic transition dramatically increased the returns to human capital in East Germany. Economic theory …

be extended to allow migrants to move to regions that best reward their skills in terms of both wages and employment. The … extended framework predicts skilled workers to be disproportionately attracted to regions with higher mean wages and employment … rates as well as higher regional wage and employment inequalities. Estimates from a labour flow fixed effects model and a …

capital portability to the explanation of the immigrant-native wage gap. Using data for West Germany, our results reveal that … returns than human capital obtained in Germany. We further nd evidence for heterogeneity in the returns to human capital of …