This paper analyses the effects of a social assistance reform in Germany. In contrast to studies which are based on microsimulation methods we use a computable general equilibrium model which incorporates a discrete choice model of labour supply to simulate a variety of reform scenarios. The...

Germany1, as most other European countries, has been plagued by a persistently high level of long?term unemployment since the early 1980's. In contrast, long? term unemployment is much less of a problem in the United States. One potential reason for the different structure of unemployment...

We analyze the dramatic decline of the employment share of unskilled labor in the West German economy, in particular its relation to the relatively rigid earnings structure. We find that the substitution elasticity between unskilled and skilled labor is rather low in most sectors of the economy....

The question of the allocation of public R&D funding is becoming particularly important when it comes to identifying the effects of state subsidies, in terms of input or output additionality. This analysis goes one important step further than the existing literature by including the time...

Public procurement has been at the centre of recent discussions on innovation policy on both European and national levels (e.g., Aho-Report, Barcelona Strategy). It has a large potential to stimulate innovation since it accounts for 16% of combined EU-15 GDP. We embed public procurement for...

This study provides insights into the effects of public R&D grants on R&D input and output of firms from Germany. Previous research has shown that the allocation of R&D project grants is rather stable regarding the pool of beneficiaries. The question is whether this participation pattern can be...

This paper looks at which firms receive R&D project grants and how this public support evolves over time by considering in particular firm's previous participation. The question of the allocation of public R&D funding is becoming particularly important when it comes to identifying the effects of...

Although explanations of the persistence of high unemployment in Germany, in particular long-term unemployment, have increasingly focused on structural factors, there is only very limited evidence on their empirical importance so far. In this paper, these factors are analyzed based on a...

A dynamic random effects probit model is estimated on the first six waves of the German Socio-Economic Panel to test for state dependence effects in male unemployment behaviour. Estimation of the model is based on the marginal likelihood approach. In the model an individual's unemployment...