We estimate a linear approximation of the market potential function for Europe as derived in geography and trade models. Using a spatial econometric estimation approach, border effects are identified by a differential impact of other regions purchasing power, depending on whether two regions are...

In Austria, asylum seekers are distributed across federal states according to a quota, but once they are granted protection, they are free to move wherever they want. Welfare benefit levels for refugees vary over states depending on a person’s protection status and - due to a series of welfare...