Summary
Using the introduction of fixed unemployment assistance in Germany in 2005 as a unique natural experiment, we find strong evidence that decreased unemployment compensation has an adverse effect on wages. We use micro panel data to identify and estimate the effect of this structural break. In eastern and western Germany, the relative effect is higher for women. In western Germany, the relative effect increases with skill level. In eastern Germany, there is no clear skill-specific pattern.
Code and Datasets
The author(s) published code and data associated with this article in the ZBW Journal Data Archive, a storage platform for datasets. See: https://doi.org/10.15456/jbnst.2015050.080654.
© 2013 by Lucius & Lucius, Stuttgart
Articles in the same Issue
- Inhalt / Contents
- Abhandlungen / Original Papers
- Unemployment Compensation and Wages: Evidence from the German Hartz Reforms
- Early Life Adversity and Children’s Competence Development: Evidence from the Mannheim Study of Children at Risk
- Inter-industrial Relations and Sectoral Employment Development in German Regions
- Beschäftigungsentwicklung innerhalb deutscher multinationaler Unternehmen während der globalen Rezession 2008/2009 / Employment Changes Within German Multinational Companies During the Global Recession 2008/2009
- A Comparative Study of the Lasso-type and Heuristic Model Selection Methods
- Buchbesprechungen / Book Reviews
Articles in the same Issue
- Inhalt / Contents
- Abhandlungen / Original Papers
- Unemployment Compensation and Wages: Evidence from the German Hartz Reforms
- Early Life Adversity and Children’s Competence Development: Evidence from the Mannheim Study of Children at Risk
- Inter-industrial Relations and Sectoral Employment Development in German Regions
- Beschäftigungsentwicklung innerhalb deutscher multinationaler Unternehmen während der globalen Rezession 2008/2009 / Employment Changes Within German Multinational Companies During the Global Recession 2008/2009
- A Comparative Study of the Lasso-type and Heuristic Model Selection Methods
- Buchbesprechungen / Book Reviews