The cumulative growth rate of the German economy since reunification would have been around two percentage points higher if income inequality had remained constant. This is whatsimulations using the DIW Macroeconomic Model have shown. They were made under the assumption that the income...

This paper analyzes the e ffect of regional income inequality within countries on individual life satisfaction. We use data from the World Values Survey (WVS) and the European Values Survey (EVS) containing approximately 97,000 observations from 1981-2008. Regional income inequality is measured...

This paper measures the impact of sectoral composition, international trade and technological progress on the rising wage gap in Germany. I find a positive effect of the increasing importance of services on the rising wage gap in Germany that is comparable to the effects of international trade...

Income inequality is a major public concern in many Western countries. The problem has intensified with the recent high immigration rates in Europe, particularly from outside the continent. However, the linkage between refugee immigration and income inequality in host countries has not been...

In this paper, we make two contributions to the literature on inequality of opportunity (IOP). First, we use longitudinal data for two developing countries, Thailand and Viet Nam, to study the evolution of absolute and relative IOP in the income and consumption space over a 10-year period, thus...

Do higher wages lead to more automation innovation? To answer this question, we first use the frequency of certain keywords in patent text to create a new measure of automation innovation in machinery. We show that our measure is correlated with a reduction in routine tasks in a cross-sectoral...

This study provides new evidence regarding the extent to which medical care mitigates the economic consequences of various health shocks for the individual and a wider family. To obtain causal effects, I focus on the role of medical scientific discoveries and leverage the longitudinal dimension...

This paper addresses the question if physical infrastructure and personnel infrastructure (i.e. human capital) are positively related to economic output. Relevant theoretical literature provides a variety of arguments concerning a positive impact of infrastructure endowment on economic out-put....

This paper analyzes the effects of new business formation on industry growth. Dynamic panel techniques are used to test two hypotheses. First, does hit-andrun competition secure efficiency in an industry? Second, do innovative startups lead to amplified innovations by diminishing the knowledge...