Dr André Diegmann

Dr André Diegmann
Current Position

since 3/21

Head of the Research Group Firm Dynamics and Employment Outcomes

Halle Institute for Economic Research (IWH) – Member of the Leibniz Association

since 1/20

Member of the Department Structural Change and Productivity

Halle Institute for Economic Research (IWH) – Member of the Leibniz Association

Research Interests

  • empirical labour economics
  • firm dynamics
  • political economy
  • economics of crime

André Diegmann joined the Department of Structural Change and Productivity in January 2020. He is Junior Research Associate at the Centre for European Economic Research (ZEW) since June 2020. His research focuses on applied microeconometrics, labour economics, and public economics.

André Diegmann received his master's degree from University of Kassel and his PhD from University of Mannheim. Prior to joining IWH, he was a researcher at ZEW, IAB, and the German Council of Economic Experts.

Your contact

Dr André Diegmann
Dr André Diegmann
Mitglied - Department Structural Change and Productivity
Send Message +49 345 7753-873 Personal page

Publications

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Preferred Field of Study and Academic Performance

Francesco Berlingieri André Diegmann Maresa Sprietsma

in: Economics of Education Review, August 2023

Abstract

This paper investigates the impact of studying the first-choice university subject on dropout and switching field of study for a cohort of students in Germany. Using detailed survey data, and employing an instrumental variable strategy based on variation in the local field of study availability, we provide evidence that students who are not enrolled in their preferred field of study are more likely to change their field, delay graduation and drop out of university. The estimated impact on dropout is particularly strong among students of low socio-economic status and is likely to be driven by lower effort and motivation.

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The Gender Reveal: The Effect of Sons on Young Fathers’ Criminal Behavior and Labor Market Activities

Kabir Dasgupta André Diegmann Tom Kirchmaier Alexander Plum

in: Labour Economics, October 2022

Abstract

Based on New Zealand’s administrative court charges data, we document child gender-specific differences in future criminal behavior of young fathers. The deterrent impact of having a son on the future likelihood of receiving convictions persists for as long as ten years post-childbirth. Utilizing population-wide monthly tax registers and Census data, we provide key insights into the role model hypothesis. We show that young fathers with a son have (i) a higher likelihood of being in employment, (ii) higher wages and salaries, (iii) lower benefit dependency, (iv) better qualification, and (v) a higher likelihood of being in a partnered relationship.

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The Place-based Effects of Police Stations on Crime: Evidence from Station Closures

Sebastian Blesse André Diegmann

in: Journal of Public Economics, March 2022

Abstract

Many countries consolidate their police forces by closing down local police stations. Police stations represent an important and visible aspect of the organization of police forces. We provide novel evidence on the effect of centralizing police offices through the closure of local police stations on crime outcomes. Combining matching with a difference-in-differences specification, we find an increase in reported car theft and burglary in residential properties. Our results are consistent with a negative shift in perceived detection risks and are driven by heterogeneous station characteristics. We can rule out alternative explanations such as incapacitation, crime displacement, and changes in police employment or strategies at the regional level. We argue that criminals are less deterred due to a lower visibility of the local police.

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Working Papers

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Do Politicians Affect Firm Outcomes? Evidence from Connections to the German Federal Parliament

André Diegmann Laura Pohlan Andrea Weber

in: IWH Discussion Papers, No. 15, 2024

Abstract

We study how connections to German federal parliamentarians affect firm dynamics by constructing a novel dataset to measure connections between politicians and the universe of firms. To identify the causal effect of access to political power, we exploit (i) new appointments to the company leadership team and (ii) discontinuities around the marginal seat of party election lists. Our results reveal that connections lead to reductions in firm exits, gradual increases in employment growth without improvements in productivity. The economic effects are mediated by better credit ratings while access to subsidies or procurement contracts are documented to be of lower importance.

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Committing to Grow: Privatizations and Firm Dynamics in East Germany

Ufuk Akcigit Harun Alp André Diegmann Nicolas Serrano-Velarde

in: IWH Discussion Papers, No. 17, 2023

Abstract

This paper investigates a unique policy designed to maintain employment during the privatization of East German firms after the fall of the Iron Curtain. The policy required new owners of the firms to commit to employment targets, with penalties for non-compliance. Using a dynamic model, we highlight three channels through which employment targets impact firms: distorted employment decisions, increased productivity, and higher exit rates. Our empirical analysis, using a novel dataset and instrumental variable approach, confirms these findings. We estimate a 22% points higher annual employment growth rate, a 14% points higher annual productivity growth, and a 3.6% points higher probability of exit for firms with binding employment targets. Our calibrated model further demonstrates that without these targets, aggregate employment would have been 15% lower after 10 years. Additionally, an alternative policy of productivity investment subsidies proved costly and less effective in the short term.

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