In our days, German machine tool makers accuse their Chinese competitors of violating patent rights and illegally imitating German technology. A century ago, however, German machine tool makers used exactly the same methods to imitate American technology. To understand the dynamics of this...

This paper studies moral hazard in a sickness-insurance fund that provided the model for social-insurance schemes around the world. The German Knappschaften were formed in the medieval period to provide sickness, accident, and death benefits for miners. By the mid-nineteenth century,...

The division of Germany into a free-market West and a socialist East that followed the military defeat in spring 1945 induced thousands of East German companies to relocate to the West in the following years. This exogenous mass exodus allows us to identify the motives for the choice of firm...