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After the German reunification, interregional subsidies accounted for approximately four percent of gross fixed capital investment in the new federal states. We show that between 1992 and 2005 infrastructure and (small) business aid had a negative net impact on regional economic growth. This...
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minimum wage in East Germany was set much higher in relation to the wage distribution. There is heterogeneity hidden in the … negative employment effect for East Germany, its magnitude is substantially larger than previously estimated. -- Minimum wage …
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construction sector in Germany. Instead of estimating the effect on employment, the authors focus on the change of prices on a firm … estimations show that the minimum wage did have a different impact in East and West Germany. In East Germany, we find significant …, there was no significant price reaction observed for West Germany. The minimum wage seems too low compared to the wages paid …
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construction sector. In 1997, a wage floor was introduced at different rates in West and East Germany. For analysing the impact of … positive and statistically significant effect of the minimum wage in East Germany, but an insignifcant effect for West Germany …
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East Germany which point to a substantial shift in industry structure. Minimum wages decreased both market entries and … some type of evasion strategy in eastern Germany, particularly since wages for skilled roofers declined towards the minimum …
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