This paper evaluates the impact of public employment on private sector activity using the relocation of the German … empirical analysis, we develop a simple economic geography model in which public sector employment in a city can crowd out … private employment through higher wages and house prices, but also generates potential productivity and amenity spillovers. We …

This paper evaluates the impact of public employment on private sector activity using the relocation of the German … empirical analysis, we develop a simple economic geography model in which public sector employment in a city can crowd out … private employment through higher wages and house prices, but also generates potential productivity and amenity spillovers. We …

1 funds, but no employment effects. A simple cost-benefit calculation suggests that Objective 1 transfers are not only …