distribution: local wage flexibility is more relevant for the upper part of the wage distribution, and flexibility of wages … support our hypothesis, as employees with low wages have significantly lower local wage flexibility than high wage employees …. This effect is particularly relevant for the lower educational groups. On the other hand, employees with low wages tend to …

quantitative analysis for Germany indicates that such concerns are misplaced. We find that the abolition of VAT differentiation has …

in Germany. The results suggest that attempts of state level governments to extract fiscal resources from the local …

actually favors stabilization. In an empirical analysis for Germany, the paper adds support for the finding of significant … regional stabilization by fiscal flows. The results indicate that about 17 % of GDP variation across West Germany's states has … been removed by fiscal flows during the last two decades. Thus, in Germany where the fiscal federalism is criticised for …