Economic Development in Saxony-Anhalt: empirical results and policy recommendations
Franz Barjak, Peter Franz, Gerhard Heimpold, Martin T. W. Rosenfeld
Wirtschaft im Wandel,
No. 3,
2001
Abstract
Though the basic economic problems are still of the same kind all over East Germany, partially considerable regional differences exist in respect to the conditions for further economic development. Therefore, detailed empirical analyses for the individual Länder and their sub-regions are necessary making economic policy recommendations. The following contribution deals with this task taking Saxony-Anhalt as an example.
A multitude of indicators is used to bring out the specific strengths and weaknesses of the economy of this state (Land) and its sub-regions. The outstanding strength of Saxony-Anhalt are the high private investment outlays which served to build a modern capital stock during the past ten years. Another fundamental strength of the Land are the universities and public research institutions. Besides these unambiguous strengths some ‘ambivalent’ growth factors exist which are characterized by strengths as well as by weaknesses. Such ‘ambivalent’ growth factors are the infrastructure and the situation of important sectors and branches of economic activity. The weaknesses of Saxony-Anhalt’s economic structure find expression especially in its low supply with human capital and entrepreneurial initiative as well as in the few research and development efforts of its firms.
The aforementioned strengths of the Land are reflected insufficiently in its economic output. Consequently some economic policy measures are proposed to bring about an improvement: Amongst other things Saxony-Anhalt should develop a clear idea of its economic development (Leitbild). Such a Leitbild could be related to the Land’s strengths or to the elimination of its major weaknesses. This also would facilitate a concentrated use of the different economic policy instruments. The latter shouldn’t only be concentrated on singular economic growth factors but also spatially, on the economically stronger sub-regions, as this can lead to larger growth effects for the entire Land. The good provision with public research institutions in Saxony-Anhalt should be used to bring about an improvement of the economic structure to a larger extent than until now. This could be done for example by means of a further strengthening of applied research vs. basic research, possibly via orienting the public research more towards the existing branches of economic activity. Finally, the Land should intensify its efforts to increase the entrepreneurial initiative in Saxony-Anhalt, e. g. by means of introducing courses in economics in its schools.
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Effects of the new vote weighting system at EU Council of Ministers on structural fond resources for new members
Martina Kämpfe, Johannes Stephan
Wirtschaft im Wandel,
No. 2,
2001
Abstract
At the recent Nice summit, the EU council of ministers decided on institutional adjustments for the European Union. Such reforms are of particular importance for an enlarged European Union in which up to 27 new members could participate. Amongst the reforms, two decisive changes concern the distribution of votes in an enlarged council and additional conditions which will be attached to majority decisions.
This redistribution of power within the council will effect in particular economic issues, as e.g. the size and distribution of structural funds budgets to be expected upon admittance as EU-member states. Such effects can be estimated by use of models of probability of coalition-building. The model used here predicts that the budget for structural funds for the ten accession countries will be lower than would have been under the old voting power regime. This highlights that the accession group in Central East Europe lost relative voting power via coalitions in comparison to the voting regime prior to Nice. Solely Poland enjoyed an increase in voting power which also suggests an increase in budgets Poland can now expect to receive in the framework of EU structural funds policy.
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Rising oil prices dampen upswing in Central and Eastern Europe
Axel Brüggemann
Wirtschaft im Wandel,
No. 16,
2000
Abstract
The article analyzes and forecasts the economic development in the Central and Eastern European transition economies. Due to the oil price effect and subsequently slower growth in the euro area, growth in transition economies will experience a slight setback too. On the whole however, it will reamin strong both in 2001 and in 2002. Accompaning the decrease in economic growth, the risk for financial crises in the region has increased.
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Differences in the economic capability of regions - a typology for East Germany and Poland
Franz Barjak
IWH Discussion Papers,
No. 121,
2000
Abstract
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Border regions in the European integration process – Results of an IWH conference -
Franz Barjak, Gerhard Heimpold
Wirtschaft im Wandel,
No. 5,
2000
Abstract
Den Folgen der Integration für die wirtschaftliche Entwicklung in Grenzregionen widmete sich eine Tagung des IWH am Beispiel der deutsch-polnischen Grenzregion, in der sich derzeit die Wirkungen der schrittweisen Grenzöffnung mit strukturellen Anpassungsproblemen im Zuge der Transformation überlagern. In der Regionalpolitik erweisen sich vor allem Maßnahmen als integrationsfördernd, die die Barrierewirkungen der Grenzlage beseitigen. Politikmaßnahmen, die dagegen auf Faktorpreisunterschieden und eingeschränkter Faktormobilität aufbauen, z.B. grenznahe oder grenzüberschreitende Gewerbeparks oder Sonderwirtschaftszonen, stehen eigentlich längerfristig dem Integrationsgedanken entgegen.
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Regional analysis of East Germany: A comparison of the economic situation of states, districts, and municipalities
Franz Barjak, Peter Franz, Gerhard Heimpold, Martin T. W. Rosenfeld
Wirtschaft im Wandel,
No. 2,
2000
Abstract
A decade after the German unification we look at the extent of economic differentiation within East Germany. This is achieved by help of a set of selected statistical indicators for the years 1991 to 1998. Comparisons are drawn a) between the East German jurisdictions and b) between West and East German jurisdictions. On the federal state (Laender) level it can be shown that each state has developped its own specific economic profile. Brandenburg is characterized by a positive net migration (suburban function for Berlin), relatively low unemployment and high GDP values, but relatively low entrepreneurial activities. Saxony has achieved the lowest unemployment, a good endowment with human capital, modern industrial technology, infrastructure, and entrepreneurial activities. Special features of Thuringia consist of a relatively large number of patent applications and a stable industrial base. The economic state of Mecklenburg-Vorpommern is characterized by low industrial investment, negative net migration, and high unemployment. A special feature of this federal state is the intense investmenr in tourist services. Saxony-Anhalt registers the highest decrease in the numbers of industrial workers between 1991 and 1998 and the highest unemployment. On the other side it shows the highest amount of investment, especially in chemical industry and in mineral oil processing.
On the county level four clusters can be identified by means of a cluster analysis: A “cluster of counties with severe economic weaknesses” with a bias in the regions indutrialized in an early stage, a “cluster with a high human capital potential and suburbanization loss” consisting of 21 cities, a “cluster of counties with good economic results” predominantly surrounding the larger cities, and a “cluster of counties with SME growth potential” concentrating in Thuringia and Saxony.
The results at the city level show that the larger cities above 100.000 inhabitants, especially Dresden and Leipzig, do better than the smaller cities. Jena in Thuringia has specialized as a location for R&D, Zwickau in Saxony as a location for the automobile industry. Altogether the economic differences between the East German federal states, counties, and cities still are less pronounced than the degree of differentiation of their West German counterparts.
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The renovation of the service sector in the New Länder
Gerald Müller
Forschungsreihe,
No. 7,
1999
Abstract
Diese umfangreiche Studie zeichnet ein Bild von den besonderen Nachfrage- und Angebotseffekten, durch die der Erneuerungsprozess des ostdeutschen Dienstleistungssektors maßgeblich bestimmt wurde. Dazu zählen auf der Nachfrageseite die vergleichsweise niedrigen Einkommen in den neuen Bundesländern sowie die Ost-West-Transfers und auf der Angebotsseite die beruflichen Qualifikationen der Erwerbspersonen.
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Demand drop in crisis regions dampens East German exports
Ingrid Haschke
Wirtschaft im Wandel,
No. 8,
1999
Abstract
Die durch Währungs- und Finanzkrisen ausgelöste Eintrübung des weltwirtschaftlichen Umfelds hinterließ ihre Spuren auch in der ostdeutschen Wirtschaft. Die Warenlieferungen in die besonders von Krisen betroffenen Regionen wie Südostasien und Russland gingen drastisch zurück. Die Ausfuhrentwicklung in die westeuropäischen Industrieländer verlangsamte sich ebenfalls aufgrund der nachlassenden Auslandsnachfrage. Für eine Fortsetzung der konjunkturellen Aufwärtsentwicklung in den Neuen Bundesländern wurden Gefahren vor allem im Zusammenhang mit dem Einbruch der Russlandexporte gesehen, weil dieser Markt einen ähnlichen Stellenwert wie der gesamte NAFTA-Raum beispielsweise hat.
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Insolvency law in Central and Eastern Europe: An economic evaluation
Thomas Linne
Wirtschaft im Wandel,
No. 2,
1999
Abstract
Wichtige Strukturreformen auf Unternehmensebene in den mittel- und osteurpäischen Transformationsländern können durch eine konsequente Anwendung des Insolvenzrechts vorangetrieben werden. Eine wichtige Voraussetzung hierfür ist die Ausgestaltung der Insolvenzgesetze. Sie sollten Anreize für Gläubiger schaffen, Insolvenzverfahren dann zu initiieren, wenn Unternehmen überschuldet oder zahlungsunfähig sind, um so die Unternehmenskontrolle zu verbessern. Bisher wurden die Insolvenzgesetze aber nur zögerlich in Anspruch genommen. Es bestehen noch Befürchtungen, dass umfangreiche Unternehmenskonkurse unweigerlich zu Massenarbeitslosigkeit führen.
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Transfer payments, exports and productivity – economic structural data for the New Länder
Joachim Ragnitz, Ingrid Haschke, Gerald Müller, Udo Ludwig, Jacqueline Rothfels
IWH-Sonderhefte,
No. 2,
1998
Abstract
In der öffentlichen Debatte über die wirtschaftliche Lage in Ostdeutschland wird häufig mit Vereinfachungen operiert, die der tatsächlichen Situation in den neuen Ländern nur unzureichend gerecht werden. Ein Beispiel hierfür ist die Diskussion um die Transferleistungen für Ostdeutschland, die häufig undifferenziert als „Sonderleistungen“ des Westens für den Osten betrachtet werden. Ein anderes Beispiel ist die Verwendung von Durchschnittswerten zur Beurteilung der Produktivitätssituation ostdeutscher Unternehmen, die die enorme Streuung zwischen verschiedenen Unternehmenstypen nicht berücksichtigt. Um zu einer Versachlichung der Diskussion beizutragen, ist das Institut für Wirtschaftsforschung Halle vom Ministerium für Wirtschaft, Technologie und Europaangelegenheiten des Landes Sachsen-Anhalt beauftragt worden, einige besonders häufig zu Mißverständnissen Anlaß gebende Fragestellungen genauer zu untersuchen.
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