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How do regional labor markets adjust to immigration? : A dynamic analysis for post-war Germany

Title data

Braun, Sebastian Till ; Weber, Henning:
How do regional labor markets adjust to immigration? : A dynamic analysis for post-war Germany.
In: Journal of International Economics. Vol. 129 (March 2021) . - No. 103416.
ISSN 0022-1996
DOI: https://doi.org/10.1016/j.jinteco.2020.103416

Project information

Project financing: Deutsche Forschungsgemeinschaft
Leibniz Gemeinschaft

Related research data

https://doi.org/10.3886/E123821V1

Abstract in another language

This paper provides a comprehensive analysis of the dynamic labor market effects of one of the largest forced population movements in history, the mass inflow of eight million German expellees into West Germany after World War II. The expellee inflow was distributed very asymmetrically across two West German regions. We develop a dynamic equilibrium model that closely fits two decades of historical data on the regional unemployment differential and the regional migration rate. Both variables increase dramatically after the expellee inflow and decline only gradually over the next decade. The long-lasting adjustment process implies losses in the lifetime labor income of native workers that are not covered by conventional steady state analyses. Regional migration serves as an important adjustment margin for native workers to insure against local labor supply shocks.

Further data

Item Type: Article in a journal
Refereed: Yes
Keywords: Immigration; Labor market adjustments; Dynamic search and matching model of unemployment; Asymmetric labor supply shock; Post-war Germany
Institutions of the University: Faculties > Faculty of Law, Business and Economics > Department of Economics > Chair Economics VII: Quantitative Economic History > Chair Economics VII: Quantitative Economic History - Univ.-Prof. Dr. Sebastian Till Braun
Result of work at the UBT: Yes
DDC Subjects: 300 Social sciences > 330 Economics
900 History and geography > 940 History of Europe
Date Deposited: 27 Jan 2021 08:06
Last Modified: 27 Jan 2021 08:06
URI: https://eref.uni-bayreuth.de/id/eprint/62419