The Spatial Clustering of the Photo-voltaic Industry in Berlin-Brandenburg
Steffen Ebert, Matthias Brachert, Iciar Dominguez Lacasa
Wirtschaft im Wandel,
No. 11,
2009
Abstract
Recent empirical studies show a process of selective clustering in the photo-voltaic industry in East Germany. Especially locations like Bitterfeld-Wolfen, Freiberg/Dresden, Erfurt/Arnstadt and Berlin-Brandenburg were able to attract concentrations of economic activity in this industry. Regarding competition between the different locations for production and employment, emerging agglomeration economies can be seen as one major source increasing inter-regional competitiveness.
The aim of this article is to provide insights into the process of spatial clustering of photo-voltaic industry in Berlin-Brandenburg. With the help of a multi-dimensional cluster-concept developed by Bathelt, we analyse the region’s strengths and weaknesses regarding its generation of agglomeration economies.
The analysis shows that there are indeed first signs of agglomeration economies developing in the region. Despite a low level of horizontal cooperation, companies do profit from co-localisation by continuous observation of the local competitors. Along the value adding production chain, vertical co-operation is increasing, leading to positive effects by specialised suppliers and gains in transportation cost.
But the focal point in further industry development is the augmentation of the regional stock of knowledge. Regarding the increasing pressure on the companies’ innovativeness as a result of changes in market conditions in the photo-voltaic sector, only innovative and efficiently producing companies will be able to survive the industries’ consolidation period. Therefore, it is necessary to further support the increasing interconnectedness between university research, non-university research and local companies in order to profit from the high technological potential of the companies in the region.
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The Manufacturing Sector in East Germany on a Path from De-industrialization to Re-industrialization: Are there Economically Sustainable Structures?
Gerhard Heimpold
Wirtschaft im Wandel,
20 Jahre Deutsche Einheit - Teil 1 -
2009
Abstract
The contribution comprises an analysis how the manufacturing sector in East Germany has developed in the post-transition period after 1990. A set of economic performance indicators is used. The analysis shows a considerable growth of gross value added and productivity. However, the growth of productivity occurred at the expense of employment. On average, in 2008, the East German manufacturing sector reached 4/5th of the productivity level of the West German level. As far as the endowment with growth determinants is concerned, the manufacturing industry in the New German Länder has undertaken considerable efforts to modernize its fixed capital stock. The endowment with human capital measured by the proportion of employees possessing a university degree is as high as in the western part of Germany. However, the investigation reveals a number of deficits, too. Data on Research and Development (R&D) expenditures and R&D staff in the manufacturing sector reveal, on average, lower R&D activities in the East German manufacturing sector. This is resulting from specific structures of the East German manufacturing sector: dominance of small firms, lack of large firms possessing headquarters and conducting own R&D. Complementary, the share of technology-driven industries is lower, and the proportion of labor intensive industries is larger in comparison with the West German manufacturing sector. In addition, an investigation of functional structures of employment reveals a proportion of employment in production functions which is above the West German average, whereas the opposite is the case with the proportion of employment in service functions. For further strengthening the East German manufacturing sector, structural change toward technology-intensive and human capital-intensive economic activities has to be continued.
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Smuggling Illegal versus Legal Goods across the U.S.-Mexico Border: A Structural Equations Model Approach
A. Buehn, Stefan Eichler
Southern Economic Journal,
No. 2,
2009
Abstract
We study the smuggling of illegal and legal goods across the U.S.-Mexico border from 1975 to 2004. Using a Multiple Indicators Multiple Causes (MIMIC) model we test the microeconomic determinants of both smuggling types and reveal their trends. We find that illegal goods smuggling decreased from $116 billion in 1984 to $27 billion in 2004 as a result of improved labor market conditions in Mexico and intensified U.S. border enforcement. Smuggling legal goods is motivated by tax and tariff evasion. While export misinvoicing fluctuated at low levels, import misinvoicing switched from underinvoicing to overinvoicing after Mexico's accession to the GATT and the North American Free Trade Agreement (NAFTA) induced lower tariffs.
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Energy Efficient Homes in Germany: Lower Energy Requirement in the East and the South – Results of the ista-IWH-Energy-Efficiency-Index 2007
Claus Michelsen
Wirtschaft im Wandel,
No. 9,
2009
Abstract
At the latest since the oil crisis in the beginning of the 1970s, energy efficiency of homes became a widely discussed topic. In the past, it were in first line aspects of the scarcity of fossil energy sources that motivated the debate. Nowadays, climate protection is a main goal of the European energy policy. For this purpose, a new instrument was introduced in 2009. Europe-wide, the “Energy Performance Certificate” for buildings presents detailed information on the required energy for heating, warm water and (indirectly) the resulting costs for tenants. This instrument is designed to provide further information for consumers to influence their behavior in favor of energy efficient buildings.
Until now, there is only little information on spatial aspects of the energy efficiency of housing in Germany. This article presents data on the level of Germany’s NUTS2 regions. In our calculations, we include information on more than 2.6 million flats, interpolating it representatively for the total stock of multifamily buildings and considering the regional climate.
The results of the first ista-IWH-Energy-Efficiency-Index indicate large differences between regions. The required energy for housing is much lower in the eastern and southern parts of Germany, compared to the western or northern parts. Explanations can be seen in a different structure of the housing stock (e.g. age of construction, level of refurbishment). Moreover, first analyses of the market structure indicate that owner occupied flats are more efficient in energy requirement than rental flats. Vacancy rates, the duration of occupation of rented flats and the level of regional income play an additional role for the energy efficiency of the regional housing stock.
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Investitionszuschüsse nur bei Schaffung von Arbeitsplätzen? Schlussfolgerungen aus der Förderung eines Investitionsprojektes über die Gemeinschaftsaufgabe im Land Brandenburg
Mirko Titze
Zeitschrift für Wirtschaftspolitik,
2009
Abstract
The Joint Task “For the Improvement of the Regional Economic Structure“ is one of the most important Instruments of the German regional policy. This instrument is applied in regions with strong structural problems and aims to reduce unemployment. The instruments institutional framework demands the creation of additional permanent posts. This paper explores that these requirements can provoke inefficient combinations of production factors. The reasons for that problem can be seen in market failures as well as political disappointments. The government of each federal state has an incentive to demand permanent posts as much as possible because public revenue can equal the government expenditures after a relative short time period due to employment and production effects. The institutional framework of the German financial equalization scheme between the federal states contributes to that problem too - the expenditures for subsidization can be balanced by perequations paid by the other federal states.
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Regional Growth and Finance in Europe: Is there a Quality Effect of Bank Efficiency?
Iftekhar Hasan, Michael Koetter, Michael Wedow
Journal of Banking and Finance,
No. 8,
2009
Abstract
In this study, we test whether regional growth in 11 European countries depends on financial development and suggest the use of cost- and profit-efficiency estimates as quality measures of financial institutions. Contrary to the usual quantitative proxies of financial development, the quality of financial institutions is measured in this study as the relative ability of banks to intermediate funds. An improvement in bank efficiency spurs five times more regional growth then an identical increase in credit does. More credit provided by efficient banks exerts an independent growth effect in addition to direct quantity and quality channel effects.
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“Absurdes Ergebnis“ oder wissenschaftlich fundiert? Die Wahl der Konsolidierungsländer
Sabine Freye
List Forum für Wirtschafts- und Finanzpolitik,
No. 2,
2009
Abstract
In summer 2009, the federal state of Germany has implemented a debt brake in its constitution. This new concept also includes consolidation payments to five states. These Länder suffer from fiscal constraints caused by debts higher than average. However, until now, the selection criteria for these five Länder are not really obvious. This article contributes to the recent debate by answering the question whether this choice was first of all politically motivated or primarily based on fiscal indicators. The findings show that the selection of the ‘consolidation Länder’ was a mixture of both. Additionally, the results indicate that a main focus on the debt level is not rationale. Fiscal constraints also depend on the economic strength of a federal state, because indebtedness is often caused by weak economic power. Therefore, the consolidation payments will indeed help to decrease the existing structural debts of the Länder, but they are no guarantee that the states will meet the restrictions of the debt brake after the end of these payments in the year 2019.
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Changing patterns of employment
Cornelia Lang
Wirtschaft im Wandel,
No. 4,
2009
Abstract
In Germany, the typical pattern of employment is still an employee with open-ended full time contract (standard employment relationship). Nearly three out of four employed persons work in that type of employment. However, during the last years, a number of other employment models expanded in the labour market: part-time, temporary, short-term and marginal workers. Main reasons for that development are the effects of globalization, the structural change in modern economies (the increasing importance of the services sector), and changing preferences on the part of employees to achieve a better work-life-balance. The article deals with the rise of atypical employment relationships. We find that atypical work is a domain of female and young people. During the last years, atypical employment relationship in West and East Germany increased similarly due to globalization. Differences in employment patterns between East and West could be linked to employment behaviour and structural determinants.
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Industry Concentration and Regional Innovative Performance – Empirical Evidence for Eastern Germany
Christoph Hornych, Michael Schwartz
IWH Discussion Papers,
No. 8,
2009
Abstract
Regarding technological innovativeness, the transformed economy of the former German Democratic Republic (GDR) clearly lags behind the Western part of the country. To face this weakness, a broad mixture of policy measures was carried out in recent years. Particular attention is drawn to the development of industry concentrations and economic ‘clusters’. However, little is known about the effectiveness of these policy measures regarding how industry concentrations in fact promote innovative performance in Eastern Germany. The present study tries to fill this gap by analyzing the relationship between industry concentration in Eastern Germany and regional innovative performance. Our empirical analysis is based upon the number of patent applications of 22 manufacturing industries in 22 Eastern German planning regions. The estimated regression models indicate an inverted U-shaped relationship between the degree of industry concentration and innovative performance. An exceedingly high degree of industry concentration in one region hampers regional innovative output. We discuss policy implications of our findings and give recommendations for future refinement of ‘cluster’-supporting policy schemes in Eastern Germany.
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Divergenz als Schicksal? Aufgaben für die Wirtschaftspolitik im Nachgang zur Weltfinanzkrise
Ulrich Blum, Jutta Günther, Udo Ludwig
Wirtschaft im Wandel,
Themenheft Weltfinanzkrise -
2009
Abstract
Europa blickte bis vor wenigen Monaten auf eine außerordentliche Geschichte des Aufholprozesses zurück: Neben dem Kern der frühindustrialisierten Länder, die weitgehend die alte Europäische Union ausmachten, waren es die nördlichen, westlichen und südlichen Erweiterungsmitglieder, oft spätindustrialisiert, die mit Hilfe der Unterstützung der Union eine außerordentliche soziale und wirtschaftliche Entwicklung zeigten. Mit der Osterweiterung schien diese Erfolgsgeschichte ihre Fortsetzung zu finden. Eigentlich machten alle Länder das Richtige: Sie investierten kräftig, was meist mit Leistungsbilanzdefiziten verbunden ist, um später über Exporterlöse die aufgelaufenen Verbindlichkeiten abzubezahlen und so am Wohlstand der Union äquivalent teilzuhaben.
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