We analyze the effects of instruction time and class size on student achievement in Germany. Using econometric evaluation techniques we are able to deal with unobserved heterogeneity in the student body. Specifically we apply first-difference methods and matching across subjects to control for...

This paper investigates the effects of using dismissal taxes to finance unemployment benefits. We compare dismissal and employment taxes in a model with search frictions. Employment taxes give rise to externalities because firms do not take into account the effects their dismissal decisions have...

The home market effect (HME) is a distinguishing feature of the "new" theory of international trade, but it is uncertain whether this effect survives if one moves beyond the simplifying setup with only two countries. We present a three-country version of the seminal model by Krugman (1980) and...

The paper contributes to the literature on ability grouping in schools by taking student incentives into account. Education provides both a signal on unobservable ability and improves productivity after education. Sorting sets better incentives in primary education and allows for improved peer...

In this paper I scrutinize the impact of employment on time-to-degree in Higher Education. In contrast to the previous literature, I look at different types of working while being enrolled at university. Using the German Socio-Economic Panel (GSOEP), I find that full-time employment and...

Die Studie analysiert den Zusammenhang zwischen beruflichen Weiterbildungsinvestitionen (Weiterbildung "on-the-job") und Art der Auflösung von Beschäftigungsverhältnissen einschließlich der Inzidenz und Höhe geleisteter Abfindungszahlungen für West- und Ostdeutschland im Zeitraum 1990 bis...

Professionalizing the system of control in a still public system implies that the university administration becomes an agent of the academic board of the university rather than serving the interests of the state as the principal. This induced organizational change alters the bargaining positions...

This paper focuses on the causal effect of overqualification on earnings. Although the issue of overqualification has recently been addressed by quite a huge body of literature there are only few studies examining the causal effect of overqualification on earnings in the sense of Rubins...

This paper investigates the effect of reforms on the time-to-degree and attendance at colleges. My model predicts that with imperfect credit markets imposing tuition fees may raise instead of reducing the time-to-degree. In the final section of the paper, I present a proposal for a reform which...

Most normative studies on child labor arrive at the conclusion that child labor is detrimental to social welfare. Child labor is, however, still prevalent in many developing countries even though in many of these countries it is forbidden by law. In this paper we develop a political-economic...