We estimate the effects on wage and employment growth rates of the introduction and subsequent increases of a substantial minimum wage in the main construction industry of Germany. Using a regional dataset constructed from individual employment histories, we exploit the spatial dimension and...

The number of long-term unemployed in Germany has stagnated at around one million for several years. Despite excellent labour market conditions, the long-term unemployment rate is well above the OECD average. Therefore, the "carrot and stick" principle of Hartz reforms is in clear need of...

This paper investigates the degree of monopsony power of employers in different industries against the background of a statutory minimum wage introduction in Germany in January 2015. A semi-structural estimation approach is employed based on a dynamic model of monopsonistic competition. The...

Das DIW Berlin hat im Herbst 2013 eine Studie über Mindestlöhne vorgelegt, die auf Daten des Sozio-oekonomischen Panels (SOEP) für das Jahr 2011 beruhte. Inzwischen liegen Daten für 2012 vor. Im Jahr 2012 erhielten 5,2 Millionen Arbeitnehmer einen Bruttostundenlohn von weniger als 8,50 Euro...

In Germany, decreasing collective bargaining coverage and rising wage inequality led to the introduction of a new statutory minimum wage of € 8.50 per hour of work. We analyze the relationship between the bite of the minimum wage and employment/ unemployment growth using regional data of the...

The number of long-term unemployed in Germany has stagnated at around one million for several years. Despite excellent labour market conditions, the long-term unemployment rate is well above the OECD average. Therefore, the "carrot and stick" principle of Hartz reforms is in clear need of...

This paper studies the price and employment response of firms to the introduction of a nation-wide minimum wage in Germany. In line with previous studies, the estimated employment effect is only modestly negative and statistically insignificant. In contrast, affected firms increased prices much...

This paper studies the effects of the introduction of Germany's statutory minimum wage in 2015 on employment and unemployment on the level of regional labor markets. Using variation in the regional exposure to the new wage floor, we employ a difference-in-differences approach that compares the...

Die Lockerung des Kündigungsschutzes ist ein wesentliches Element der im Januar 2004 in Deutschland in Kraft gesetzten Arbeitsmarktreformen. Dieser Beitrag diskutiert die hiervon zu erwartenden Beschäftigungseffekte. Auf Grundlage vorliegender theoretischer und empirischer Erkenntnisse wird...

This research evaluates the impact on German household labor supply of various subsidy schemes proposed to foster low-wage employment. Using data from the German Socio-Economic Panel, we estimate a discrete choice model of household labor supply. On the basis of the estimated labor supply...