For the impartial observer of German regions, differences in regional industrial structures and prosperity are quite obvious. On the one hand, there are regions characterised by different industries, firm structures and labour qualification profiles. On the other hand, some of these regions are...

The vast majority of regions in West Germany, and the EU, have become more similar in terms of per-capita income and productivity between 1980 and 2000. But a number of rich areas - generally large agglomerations - have succeeded in departing from this trend of convergence. They are continuing...

In this paper we use the NEG framework of the Helpman model to investigate the spatial distribution of wages across German labour market regions under different assumptions. As the assumptions of equal regional price level and equal real wages are strongly rejected for the German economy,...

Gegenstand des Artikels ist die Schätzung einer Translog-Produktionsfunktion, die die Auswirkungen der Bevölkerungsentwicklung auf die Produktion heute und im Jahr 2020 betrachtet. Die Ergebnisse deuten auf eine Entwicklung hin, die zu steigenden Disparitäten führt. Schon heute ist ein...

This paper analyzes how the aging labor force affects the unemployment rate at the regional level in Germany. A theoretical model of equilibrium unemployment with spatial labor market interactions is used to study the effects of agerelated changes in job creation and job destruction. Using data...

The home market effect (HME) is commonly defined as a more than proportional supply response to a demand shock. Recent theoretical literature, however, shows that predictions from the traditional twocountry framework do not always survive in multi-country settings. This is because ‘third’...

Firms cluster their economic activities to exploit technological and informational spillovers from other firms. Spillovers through the entry of multinational firms can be particularly beneficial to domestic firms because of their technological superiority. Yet, the importance of foreign firm's...

A stochastic model of the evolution of the firm population in a region and industry is developed. This model is used to make predictions about the expected probability distribution of the firm number in regions and their dynamics. Data on the spatial distribution of firms in Germany is used to...

We investigate the role of universities as a knowledge source for regional innovation processes. The contribution of universities is tested on the level of German NUTS-3 regions (Kreise) by using a variety of indicators. We find that the intensity and quality of the research conducted by the...

Firms may benefit from proximity to each other due to the existence of several externalities. The productivity premia of firms located in agglomerated regions an be attributed to savings and gains from external economies. However, the capacity to absorb information may depend on activities of...