Local employment growth in West Germany: A dynamic panel approach |
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| Institution: | 1. Institute for Employment Research (IAB), Germany;2. IZA, Germany;3. University of Konstanz, Germany;1. Department of Economics, University of Texas at Austin, United States;2. Department of Economics, Yale University, United States;1. Faculty of Physics, DongThap University, Dong Thap Province, Vietnam;2. University of Science, Vietnam National University, HCM City, Vietnam;3. Vietnam National University, HCM City, Vietnam;1. Health Economics Group, Norwich Medical School, University of East Anglia, Norwich, NR47TJ, UK;2. Norwich Medical School, University of East Anglia, Norwich, NR47TJ, UK;3. Organisation for Economic Co-operation and Development, Paris, France;4. Centre for Health Economics, University of York, Heslington, York, YO105DD, UK;1. Indiana University, School of Public and Environmental Affairs, 1315 E 10th St, Rm 231, Bloomington, IN 47405-1701, United States;2. Indiana University Kelley School of Business, 1309 E 10th St, Rm 456, Bloomington, IN 47405-1701, United States;1. Division of Clinical, Social and Administrative Sciences, Duquesne University, Mylan School of Pharmacy, Pittsburgh, PA, USA;2. Ibra Hospital, Ibra, Oman;3. Strathclyde Institute of Pharmacy and Biomedical Sciences, University of Strathclyde, Glasgow, UK;4. NHS Greater Glasgow & Clyde, Gartnavel General Hospital, Glasgow, UK |
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| Abstract: | In this paper we study the dynamics of local employment growth in West Germany from 1980 to 2001. Using dynamic panel techniques, we analyse the timing of the impact of diversity and specialisation, as well as of the human capital structure of local industries. Diversity has a positive effect on employment growth in the short run, which is stronger in manufacturing than in services. Concerning specialisation we find also positive effects. They are, however, not strong enough to reinforce growth permanently, since there is mean reversion in the process. A positive effect of education is only found in manufacturing. Additionally, we look at the impact of firm size and regional wages on local employment growth. |
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