This article shows how the impulses of the transformation process in eastern Germany have spread through the economy and the labour market. The form of transformation has long-term effects on the form of control over the economy; it is managed largely from western firms. This fact has manifold...

This research claims that investing European Union (EU) Structural Funds in Learning Mobility (LM) might lead to further regional polarization. LM is a type of labour mobility finalized to acquire new knowledge (human capital) and social networks (social capital). Historically, LM has been...

We show that parts of the unexplained wage gap in standard Oaxaca-Blinder decompositions result from the neglect of the role played by the family for individual wages. We present a simple model of dual-earner households facing a trade-off regarding whose career to promote and show analytically...

This paper assesses regional inequality in contemporary urban China by predicting earningss for individual workers in multiple provinces, comparing the province of maximum predicted earnings to the province of residence and assessing the predicted gains from relocation. The paper performs the...

This paper applies functional regression to precise geo-coded register data to measure productivity spillovers from high-skilled workers. We use a smoothing splines estimator to model the spatial distribution of high-skilled workers as continuous curves. Our rich panel data allows us to address...

While there is a wealth of literature dealing with the spatial nature of knowledge and its transferral, I argue that the underlying mechanisms have not been sufficiently understood. Existing research relating the geography of inflows to firm productivity does not adequately address firm and...

We demonstrate that almost one half of the observed wage gap between East and West Germany reflects differences in worker, establishment, and regional characteristics rather than differences in productivity at the establishment level. Regional price and establishment size differentials alone...

We exploit regional differences in labour market density to conduct a simple empirical test of dynamic monopoly and selection wage theories. According to selection wage theories employers offer above-average wages in order to attract more applicants. This allows them to be choosier and to select...

The issue of regional wage differentials is relevant both for policy proposes and general public discussion. A sound knowledge of the distribution of wage inequalities and their causes is essential for defining policy measures for reducing spatial income inequalities. A range of empirical...

Multinational firms transfer to their foreign affiliates superior technology, leading to higher productivity of their workers and therefore to higher wages, or so the often cited rent-sharing theory of multinational firms explains. But studies have shown that oftentimes, this results not from...