This paper investigates the relative impact of microeconomic agglomeration mechanisms on plant's total factor productivity (TFP) using German establishment and employment level data. Contrasting different strategies to estimate TFP from plant level production functions reveals that not...

The present paper applies several regression-based decomposition methods to analyze the impact of region-, worker-, irm- and sector-speciic determinants on the wage level and the continuous increase in wage inequality between 1995 and 2007 in Germany. In contrast to prior studies, more than 50%...

This paper analyzes assortative matching between employers and employees and its interrelations with the employment density of local labor markets in Germany. I devote attention to the identiication of accurate quality measures: plants' total factor productivity and workers' fixed effect. Two...

Using a large linked employer-employee data set for Germany, we find that the existence of a works council is associated with a lower separation rate to employment, in particular for men and workers with low tenure. While works council monopoly effects show up in all specifications, clear voice...

This paper examines the causal effects of a major change in the German parental leave benefit scheme on fertility. I use the unanticipated reform in 2007 to assess how a move from a means-tested to an earnings-related benefit affects higher-order births. By using the German Mikrozensus 2010, I...

Utilising a large representative data set for Germany, this study contrasts absenteeism of self-employed individuals and paid employees. We find that absence from work is clearly less prevalent among the self-employed than among paid employees. Only to a small extent, this difference can be...

This paper is the first to show theoretically and empirically how firms' production technology affects the choice of their preferred wage formation regime. Our theoretical framework predicts, first, that the larger the total factor productivity of a firm, the more likely it is to opt for...

Using a large data set for Germany, we show that both the raw and the unexplained gender earnings gap are higher in self-employment than in paid employment. Applying an Oaxaca-Blinder decomposition, more than a quarter of the difference in monthly self-employment earnings can be traced back to...