People Doctoral Students PhD...
IWH Bankruptcy Update: Still No Indication of Impending Bankruptcy Wave Considerably faster than the official...
Tasks of the IWH Under the guiding theme "From Transition to European ...
Wirtschaft im Wandel
Wirtschaft im Wandel Die Zeitschrift „Wirtschaft im Wandel“ will eine breite...
Jobs at IWH
Vacancies at IWH The Halle Institute for Economic Research (IWH) – Member of the Leibniz Association was founded in 1992. IWH’s tasks are economic research and science-based...
IWH Alumni The IWH would like to stay in contact with its former employees. We...
Capital Misallocation and Innovation
SSRN Solutions Research Paper Series,
This paper documents that "zombie" lending by undercapitalized banks distorts competition and impedes corporate innovation. This misallocation of capital prevents both the exit of zombie and entry of healthy firms in affected industries adversely impacting output and competition. Worse, capital misallocation depresses patent applications, particularly in high technology- and R&D-intensive sectors, and industries with neck- and-neck competition. We strengthen our results using an IV approach to address reverse causality and innovation survey data from the European Commission. Overall, our results are consistent with externalities imposed on healthy firms through the misallocation of capital.
East Germany Rearguard Only investments in education will lead to a further catch-up ...
Lecturers at CGDE Institutions ...