This paper investigates the effect of the size of the local labour market on skill mismatch. Using survey data for Germany, we find that male workers in large cities are both less likely to be overqualified for their job and to work in a different field than the one they are trained for....

Offshoring is often found to be associated with an increase of wage inequality between low- and high-skilled. This is interpreted as a relative decrease of low-skilled labor demand. However, the effect of offshoring on relative labor demand is ambiguous, since low-skilled workers may benefit...

This paper examines the determinants of internal migration in a context where wages tend to be rather inflexible at a regional scale so that regional labor demand shocks have a prolonged impact on employment rates. Regional income differentials, then, reflect both regional pay and employment...

The paper uses the natural experiment of German unification to study the role of labor supply behavior in explaining occupational segregation by sex. Analyzing a panel of regional labor market data constructed from administrative records, we observe that inflows of East German migrants with...

After the fall of the Berlin wall, the total fertility rate in East Germany tumbled from 1.7 (1989) to a stunning 0.7 children per woman (1994). While this fact is well-documented, little is still known about the crisis underlying causes. We propose a new explanation: permanent shifts in the...

This paper examines the determinants of gross labour flows in a context where modeling the migration decision as a wage-maximizing process may be inadequate due to regional wage rigidities that result from central wage bargaining. In such a context, the framework that has been developed by...