In many countries labour market policy has to deal with fairly large and persistent regional labour market disparities. In the case of Germany, parts of the country are affected by a deep unemployment crisis whereas others show nearly full employment. Since these disparities cannot be reduced to...

The process of unification of Germany 1989/90 was accompanied by a transformation crisis in the East which severely affected the labour market. Although in East Germany the average loss of employment between October 1989 and June 1993 was 37.7% there were marked re-gional differences. In rural...

This study presents results about wage effects of unemployment in eastern Germany. The standard approach to analyse the wage curve takes no account of the spatial relationship among regions. Ignoring this relationship may seriously bias the results. To investigate this, the East German wage...

This paper examines the development of regional employment in eastern Germany. An approach introduced by Patterson and suggested by Möller/Tassinopoulos is extended for the analyses. This approach uses a generalisation of an econometric analogue of the common shift-share method, which is...

An in-depth analysis of regional labour markets requires information not only on stocks but also on flows. As a tool for detailed flow analysis the Multi Account System (MAS) has been developed at the Institute for Employment Research (IAB) which uses fine grained transition matrices as basic...

This paper presents an outline of the so-called Shift-Share Regression and an application of this method to the analysis of employment development. The method used is not a deterministic decomposition such as the classical Shift-Share-Analysis, but a powerful, yet simple and flexible econometric...

One of the key issues in economics is the explanation of unemployment and its variation across different economies. Doing so, modern mainstream macroeconomics refers to the effects of financial crises and to institutional structures and their variation across countries. However, unemployment...

One of the key issues in economics is the explanation of unemployment. Doing so “modern mainstream macroeconomics” frequently refers to institutional structures in the individual countries (e.g. Layard, Nickell & Jackman 1991, 2006; Carlin & Soskice 2006). However, unemployment...

Reservation wages indicate the wage threshold for which individual workers are inclined to supply their working capacity. In important theoretical approaches it is assumed that this threshold depends on the unemployment rate. If this is true, the variation of reservation wages might be an...

The aim of the present paper is to forecast regional employment developments in the 327 West-German districts. Using a Neural Networks (NNs) methodology we try to identify the existence of underlying structural relationships between the input variables - data on regional and sectoral employment...