Workshops & Events
TSI Workshops Our TSI program involves a workshop with the participating countries twice a year. The 1st TSI Workshop took place in Lisbon, at the Statistical Office of Portugal…
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Monetary Policy
Monetary policy How firms respond to sudden changes in profitability affects the process of job creation, job destruction, aggregate investment and how fast resources are…
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Firm Responsiveness
Firm responsiveness How firms respond to sudden changes in profitability affects the process of job creation, job destruction, aggregate investment and how fast resources are…
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The Causal Impact of Gender Norms on Mothers’ Employment Attitudes and Expectations
Henning Hermes, Marina Krauß, Philipp Lergetporer, Frauke Peter, Simon Wiederhold
IWH Discussion Papers,
No. 28,
2024
Abstract
This field experiment investigates the causal impact of mothers’ perceptions of gender norms on their employment attitudes and labor-supply expectations. We provide mothers of young children in Germany with information about the prevailing gender norm regarding maternal employment in their city. At baseline, over 70% of mothers incorrectly perceive this gender norm as too conservative – the most pronounced misperception among the various gender norms we examine. Our randomized information treatment improves the accuracy of these perceptions, significantly reducing the share of mothers who perceive gender norms as overly conservative. The treatment also shifts mothers’ own labormarket attitudes in a more liberal direction. Leveraging the fact that we assessed attitudes in a prior survey, we show that specifically the shifted attitude is a strong predictor of mothers’ future labor-market participation. Consistently, treated mothers are more likely to plan an increase in their working hours, particularly those with existing support to facilitate their employment.
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Reassessing EU Comparative Advantage: The Role of Technology
Filippo di Mauro, Marco Matani, Gianmarco Ottaviano
IWH-CompNet Discussion Papers,
No. 2,
2024
Abstract
Based on the sufficient statistics approach developed by Huang and Ottaviano (2024), we show how the state of technology of European industries relative to the rest of the world can be empirically assessed in a way that is simple in terms of computation, parsimonious in terms of data requirements, but still comprehensive in terms of information. The lack of systematic cross-industry correlation between export specialization and technological advantage suggests that standard measures of revealed comparative advantage only imperfectly capture a country’s technological prowess due to the concurrent influences of factor prices, market size, markups, firm selection and market share reallocation.
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Reassessing EU Comparative Advantage: The Role of Technology
Filippo di Mauro, Marco Matani, Gianmarco Ottaviano
IWH Discussion Papers,
No. 26,
2024
Abstract
Based on the sufficient statistics approach developed by Huang and Ottaviano (2024), we show how the state of technology of European industries relative to the rest of the world can be empirically assessed in a way that is simple in terms of computation, parsimonious in terms of data requirements, but still comprehensive in terms of information. The lack of systematic cross-industry correlation between export specialization and technological advantage suggests that standard measures of revealed comparative advantage only imperfectly capture a country’s technological prowess due to the concurrent influences of factor prices, market size, markups, firm selection and market share reallocation.
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Macroeconomic Reports
Macroeconomic Reports Local and global: IWH regularly provides current economic data – be it about the state of the East German economy, the macroeconomic development in Germany…
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Latest Issue
Subscribe to the IWH Newsletter “Wirtschaft im Wandel” The IWH newsletter "Wirtschaft im Wandel" quaterly notifies subscribers via e-mail of research results, new publications,…
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Information about Inequality in Early Child Care Reduces Polarization in Policy Preferences
Henning Hermes, Philipp Lergetporer, Fabian Mierisch, Guido Schwerdt, Simon Wiederhold
Journal of Economic Behavior and Organization,
Vol. 228 (December),
2024
Abstract
We investigate public preferences for equity-enhancing policies in access to early child care, using a survey experiment with a representative sample of the German population (n ≈ 4, 800). We observe strong misperceptions about migrant-native inequalities in early child care that vary by respondents’ age and right-wing voting preferences. Randomly providing information about the actual extent of inequalities has a nuanced impact on the support for equity-enhancing policy reforms: it increases support for respondents who initially underestimated these inequalities, and tends to decrease support for those who initially overestimated them. This asymmetric effect leads to a more consensual policy view, substantially decreasing the polarization in policy support between under- and overestimators. Our results suggest that correcting misperceptions can align public policy preferences, potentially leading to less polarized debates about how to address inequalities and discrimination.
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Banker Directors on Board and Corporate Tax Avoidance
Wenjie Ding, Iftekhar Hasan, Qian Song, Qingwei Wang
Journal of Empirical Finance,
Vol. 79 (December),
2024
Abstract
We investigate how shareholder-debtholder conflict of interest affects the corporate tax avoidance using a unique setting of the affiliated and unaffiliated commercial bankers’ board representation. Consistent with the notion that board representation grants lenders’ access to private information that helps monitor and influence firms’ tax practice, we find that appointments of affiliated banker directors significantly reduce firms’ tax avoidance behavior, while appointing unaffiliated banker directors shows no such effect. The impact of affiliated banker directors on alleviating tax avoidance is stronger among firms with severer conflict of interest between shareholders and debtholders, specifically among firms with weaker corporate governance, higher financial leverage and higher CEO stock ownership.
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