Armed conflicts, natural disasters and infrastructure projects continue to force millions into migration. This is especially true for developing countries. After World War II, about 8 million ethnic Germans experienced a similar situation when forced to leave their homelands and settle within...

We identify the impact of local firm concentration on incumbent performance with a quasi natural experiment. When Germany was divided after World War II, many firms in the machine tool industry fled the Soviet occupied zone to prevent expropriation. We show that the regional location decisions...

We study the effect of cultural ties on economic exchange using a novel measure for cultural identity: dialect similarity across regions of the same country. We evaluate linguistic micro-data from a unique language survey conducted between 1879 and 1888 in about 45,000 German schools. The...

This paper analyses the effect of information disseminated by the Internet on voting behavior. We address endogeneity in Internet availability by exploiting regional and technological peculiarities of the preexisting voice telephony network that hinder the roll-out of fixed-line broadband...

When estimating the determinants of perceived corruption, economists assumed that there is full independence across countries. In the presence of peer-group or learning effects through cross-border economic activity (such as trade or labor migration), this assumption might be violated. We...

Martin Luther urged each town to have a girls' school so that girls would learn to read the Gospel, evoking a surge of building girls' schools in Protestant areas. Using county- and town-level data from the first Prussian census of 1816, we show that a larger share of Protestants decreased the...

This paper uses recently discovered data on nearly 300 Prussian counties in 1816 to show that Protestantism led to more schools and higher school enrollment already before the industrialization. This evidence supports the human capital theory of Protestant economic history of Becker and...

The trade-off between child quantity and education is a crucial ingredient of unified growth models that explain the transition from Malthusian stagnation to modern growth. We present first evidence that such a trade-off indeed existed before the demographic transition, exploiting a unique...

We analyze the relationship between offshoring and the onshore workforce composition in German multinational enterprises (MNEs), using plant data that allow us to discern tasks, occupations, and workforce skills. Offshoring is associated with a statistically significant shift towards more...

Existing evidence, mostly from British textile industries, rejects the importance of formal education for the Industrial Revolution. We provide new evidence from Prussia, a technological follower, where early-19th-century institutional reforms created the conditions to adopt the exogenously...