scholarly journals Labor Market Effects of Economic Integration: The Impact of Re-Unification in German Border Regions

2007 ◽  
Vol 8 (4) ◽  
pp. 536-560 ◽  
Author(s):  
Thiess Buettner ◽  
Johannes Rincke

Abstract This paper exploits the significant reduction in impediments to labor mobility in the process of German re-unification in order to identify labor supply shocks in the West German labor market. The focus is on the quasi-experiment of the border removal in the regions situated at the German-German border that faced a massive increase of cross-border labor supply. The results indicate that despite a gain in employment, the border removal was accompanied by a decline in wages and an increase in unemployment relative to other West German regions.

2021 ◽  
Author(s):  
◽  
Hannah Illing

In this dissertation, I analyze the effect of economic shocks on workers' labor market outcomes. In the first part of this thesis (Chapter 2), I investigate a labor supply shock in the form of cross-border migration. Chapters 3 and 4 in the second part of this thesis focus on the labor market impact of job displacement, resulting from a mass layoff, on individual workers’ careers.


2018 ◽  
Vol 18 (4) ◽  
Author(s):  
Eric Schuss

Abstract I examine the impact of language skills on immigrants’ labor market performance by applying a new approach, which allows to estimate wage benefits attributed to initial language skills at arrival. By exploiting unique data, I isolate the endogenous part of current German skills and instrument current command by German proficiency measured retrospectively at the point in time of migration. This approach tackles the problem that labor market effects from current language skills are at risk to reflect merely the sum of a successful residence in Germany and only display growth effects. I find that a good command of German increases labor market income by 47.0% for males, while no significant language effects are detected for females. Further analyses illustrate that differences in language effects by gender can be attributed to selection into different occupations and part-time employments and that language operates complementary and enables cross-border transferability of human capital.


2017 ◽  
pp. 22-39 ◽  
Author(s):  
M. Ivanova ◽  
A. Balaev ◽  
E. Gurvich

The paper considers the impact of the increase in retirement age on labor supply and economic growth. Combining own estimates of labor participation and demographic projections by the Rosstat, the authors predict marked fall in the labor force (by 5.6 million persons over 2016-2030). Labor demand is also going down but to a lesser degree. If vigorous measures are not implemented, the labor force shortage will reach 6% of the labor force by the period end, thus restraining economic growth. Even rapid and ambitious increase in the retirement age (by 1 year each year to 65 years for both men and women) can only partially mitigate the adverse consequences of demographic trends.


Author(s):  
I. Aloshyna

The study considers the essence and effects of economic integration on the Euro zone banking sector. The study explains that the intensification of economic integration of European countries provides a competitive environment for banks. The results found that the integration at the macro level increases the international competitiveness of the banking sector by creating a more transparent single secure market and increasing its capacity through the application of common rules and administrative standards for banking supervision and resolution, and on the meso- and micro levels increases the international competitiveness of banking institutions by increasing efficiency and profitability by increasing the volume of cross-border banking activities within the Euro zone. The conclusions suggest the main instruments of ECB’s monetary policy have a positive impact on improving the competitiveness of the banking sector by removing barriers to cross-border competition. Such instruments helped to create a large and transparent capital market, increase banking sector competitiveness by intensifying competition and efficiency of banks.


2020 ◽  
Vol 8 (4) ◽  
pp. 187-205
Author(s):  
Łukasz Wróblewski

Cross-border regional economic ties in the EU have been the subject of numerous studies across various academic fields. A special dose of attention, however, has been paid to the ties between the EU border regions. This is no doubt related to the intensification of European integration, in particular at the regional level. One source of particular impact on border regions is the economy of the common market. Surprisingly enough, this economy has not found its proper reflection in the research on border regions and their problems in the light of the broadly defined European regional studies. As a consequence, it is necessary to carry out an in-depth analysis of the literature on cross-border cooperation and economic integration in order to capture the impact of the single market on cross-border relations. The aim of this paper, therefore, is to analyze the economic determinants of cross-border economic ties between the EU regions. To this end, the text begins with an overview of (1) the key characteristics of the common market, followed by (2) the impact of market economics on the regional ties, with particular emphasis on the border regions. The problem has been illustrated on the basis of the Polish-German borderland. The conducted examinations indicate that the economic ties between border regions vary in intensity. At the same time, the vicinity of the border is often insufficient as a factor ensuring a high degree of intensity in the movement of production factors or business relations across the border. It is market mechanisms rather than the location on the border that comprise the primary determinant in this regard. The primary focus of this study is the movement of production factors. The methodology of this text has been based primarily on the analysis of the subject literature on the notions of market economics, optimum currency area, and the broadly defined European regional studies.


Author(s):  
Shoshana Grossbard

This chapter reviews models of marriage, with special emphasis on how the sex ratio can help explain outcomes such as marriage formation, the intramarriage distribution of consumption goods, labor supply, savings, type of relationship, divorce, and intermarriage. Economic models of marriage pioneered by Gary Becker are reviewed in the first section and then extended in the next section to incorporate the labor market for the work-in-household approach of Grossbard. The following section discusses challenges in identifying exogenous variation in sex ratios and presents empirical evidence on the impact of sex ratios on labor supply, consumption, savings, and several other outcomes.


ILR Review ◽  
2019 ◽  
Vol 72 (4) ◽  
pp. 818-857 ◽  
Author(s):  
Michael A. Clemens ◽  
Jennifer Hunt

Studies have reached conflicting conclusions regarding the labor market effects of exogenous refugee waves such as the Mariel Boatlift in Miami. The authors show that contradictory findings on the effects of the Mariel Boatlift can be explained by a large difference in the pre- and post-Boatlift racial composition in certain very small subsamples of workers in the Current Population Survey. This compositional change is specific to Miami and unrelated to the Boatlift. They also show that conflicting findings on the labor market effects of other important refugee waves are caused by spurious correlation in some analyses between the instrument and the endogenous variable, introduced by applying a common divisor to both. As a whole, the evidence from refugee waves reinforces the existing consensus that the impact of immigration on average native-born workers is small, and it fails to substantiate claims of large detrimental effects on workers with less than a high school education.


2006 ◽  
Vol 58 (4) ◽  
pp. 536-582 ◽  
Author(s):  
Tomila V. Lankina ◽  
Lullit Getachew

The article examines the impact of geographical proximity to the West and of Western aid on democracy in Russia's regions and advances ageographic incrementalisttheory of democratization. Even when national politicians exhibit authoritarian tendencies, diffusion processes and targeted foreign aid help advance democratization at the subnational level in postcommunist states and other settings. The authors make this case by conducting process-tracing case studies of democratic institution building in two northwestern border regions and statistical analysis of over one thousand projects that the European Union carried out in Russia's localities over fourteen years. They find that the EU shows commitment to democratic reform particularly in, but not limited to, regions located on its eastern frontier. Over time, this, as well as diffusion processes from the West, positively affects the democratic trajectory of the respective regions even if they had been more closed to begin with compared to other regions.


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