Who Benefits from Place-based Policies? Evidence from Matched Employer-Employee Data
Philipp Grunau, Florian Hoffmann, Thomas Lemieux, Mirko Titze
IWH Discussion Papers,
No. 11,
2024
Abstract
We study the wage and employment effects of a German place-based policy using a research design that exploits conditionally exogenous EU-wide rules governing the program parameters at the regional level. The place-based program subsidizes investments to create jobs with a subsidy rate that varies across labor market regions. The analysis uses matched data on the universe of establishments and their employees, establishment-level panel data on program participation, and regional scores that generate spatial discontinuities in program eligibility and generosity. These rich data enable us to study the incidence of the place-based program on different groups of individuals. We find that the program helps establishments create jobs that disproportionately benefit younger and less-educated workers. Funded establishments increase their wages but, unlike employment, wage gains do not persist in the long run. Employment effects estimated at the local area level are slightly larger than establishment-level estimates, suggesting limited spillover effects. Using subsidy rates as an instrumental variable for actual subsidies indicates that it costs approximately EUR 25,000 to create a new job in the economically disadvantaged areas targeted by the program.
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Import Shocks and Voting Behavior in Europe Revisited
Annika Backes, Steffen Müller
IWH Discussion Papers,
No. 8,
2024
Abstract
We provide first evidence for the long-run causal impact that Chinese imports to European regions had on voting outcomes and revisit earlier estimates of the short-run impact for a methodological reason. The fringes of the political spectrum gained ground many years after the China shock plateaued and, unlike an earlier study by Colantone and Stanig (2018b), we do not find any robust evidence for a short-run effect on far-right votes. Instead, far-left and populist parties gained in the short run. We identify persistent long-run effects of import shocks on voting. These effects are biased towards populism and, to a lesser extent, to the far-right.
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Datenbedarfe für ein Monitoring des Förderprozesses der Kapitel-1-Maßnahmen des Investitionsgesetzes Kohleregion (InvKG). Handbuch B
Matthias Brachert, Alexander Giebler, Mirko Titze
IWH Technical Reports,
No. 2,
2023
Abstract
Die vorliegende Expertise verfolgte das Ziel, Datenbedarfe für die Evaluierung der Kapitel-1-Maßnahmen des InvKG abzuleiten. Die Evaluierung und die daraus entstehenden Datenbedarfe müssen sich in ein theoretisches Modell der ökonomischen Literatur zur Wirkung von Politikmaßnahmen einordnen lassen. Bei den Kapitel-1-Maßnahmen handelt es sich im weitesten Sinne um Investitionen in wirtschaftsnahe Infrastrukturen. Charakteristisch für Infrastrukturen ist, dass sie durch mittlere Zeiträume der Planung und Errichtung auf der einen sowie lange Nutzungszeiträume auf der anderen Seite gekennzeichnet sind. Hinzu kommt, dass die Phasen der Planung/Errichtung und der Nutzung Aspekte von Marktmängeln berühren. In der Praxis unterliegt dieser Bereich daher einer umfassenden staatlichen Regulierung.
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