We argue that the complex interactions of competitive heterogeneous firms lead to a statistical equilibrium distribution of firms' profit rates, which turns out to be an exponential power (or Subbotin) distribution. Moreover, we construct a diffusion process that has the Subbotin distribution as...

We express the idea of classical competition in a statistical equilibrium model, where the tendency for competition to equalize profit rates results in an exponential power (or Subbotin) distribution. The model supports and extends recent evidence on the Laplace distribution of growth rates in...

We analyse whether the size of the local labour market allows for better matching between job seekers and vacancies, which is thought to enhance productivity. This analysis is based on a large data set providing detailed micro-level information on new employment relationships in Germany. Our...

We use the Establishment History Panel from 1975 to 2010 provided by the German Federal Employment Office to examine the impact of international trade on the occupational structure of the German manufacturing sector. To capture trade, we match the Establishment History Panel with UN Comtrade...

This paper uses a long time series of German employment data to test the theory of Ngai & Pissarides (2007). The theory suggests that the shift of employment shares from manufacturing to services is due to divergent growth rates of total factor productivity (TFP) in the two sectors. To test the...

In Germany, as in many other European countries, there will be a shift in the workforce age structure in the next decades. The number of older workers will increase, and the number of younger and middle aged workers will decline. This paper provides evidence how the shift in the relative labor...

In Germany, as in many other European countries, there will be a shift in the workforce age structure in the next decades. The number of older workers will increase, and the number of younger and middle aged workers will decline. This paper provides evidence how the shift in the relative labor...

Based on a correspondence experiment covering 3,124 fictitious job applications, the paper identifies and quantifies duration dependence in Germany, with a particular emphasis on company and vacancy characteristics as potential determinants. The experiment reveals that duration dependence...