Bernd Kröger (Copyright)  Hafen Stadthafen Schiffsverkehr
Roundup, 28 Jul 2016

It is heavily discussed whether trade liberalization is good or bad for the poor in a given (developing) country. The answer depends on a wide variety of factors, such as the type of trade barrier removed, the economic and institutional environment in the country, and the characteristics of the ... more

Andreas Weber (Copyright)  Berlin Hauptstadt Hauptst
Press Release, 25 Jul 2016

DIW Berlin’s experts identified the city’s untapped potential and formed recommendations based on a comprehensive study of its labor market, startup culture, and public investment patterns. The result: good potential, but productivity is low and innovation is weak. Overall, Berlin needs ... more

Stefan Siebert (Copyright)  S-Bahn Zug Eisenbahn
Interview, 25 Jul 2016

Mr. Gornig, there appear to be some contradictions in Berlin’s economic situation. On the one hand, Berlin is a boomtown characterized by a flourishing tourism industry and ever-increasing real estate prices; on the other hand, unemployment is high and wages are low. What’s actually ... more

Dirk Diessel (Copyright)  Berlin U-Bahn U
Report, 20 Jul 2016

In Berlin, as elsewhere, public investment is critical to an individual’s life satisfaction and a prerequisite for positive economic development. There are many fields of activity for public investment. For instance, the tasks for Berlin include a sustainable transport concept that maintains ... more

John Stevens (Copyright)  Lagerwirtschaft Lageristen Lagerarbeiter
Report, 20 Jul 2016

Over the past ten years, the number of employed in Berlin has increased more dynamically than it has anywhere else in the country, resulting in a decrease in unemployment. But because the city’s potential labor force has also experienced considerable growth, Berlin’s unemployment rate ... more

List of News
by Alexander S. Kritikos, in DIW Economic Bulletin

Over the last 20 years, Berlin has developed into Germany’sself-employment capital and into a startup hub. A large number ofinnovative companies have been launched.The city has become aninternationally renowned magnet for creative startups. Mainly usingofficial statistical data, the present report shows that the startuptrendin Berlin is above average compared to other major cities inGermany while it is primarily driven by the high startup rates amongnon-Germans. However, with respect to turning startups into fastgrowingcompanies, Berlin has room for improvement. Consequently,future policy measures should focus on supporting these typesof companies. Possible measures include developing high-qualityindustrial sites, cutting red tape and providing fast-track administrativeprocedures in all business-relatedmatters, improving recruitmentprocesses for highly qualified employees, as well as furtherexpanding the knowledge transfer between research institutes andthe fast-growing companies.

by Felix Arnold, Johannes Brinkmann, Maximilian Brill, Ronny Freier, in DIW Economic Bulletin

In Berlin, as elsewhere, public investment is critical to an individual’s life satisfaction and a prerequisite for positive economic development. There are many fields of activity for public investment. For instance, the tasks for Berlin include a sustainable transport concept that maintains and develops the local passenger transport network, a sustainable cycle concept, new schools need to be built and old ones need renovating, and Berlin must find answers to problems in its housing market. A glance at Berlin’s public investment activities reveals a mixed picture. In 2014, the city invested a total of 2.8 billion euros in its core budget and in local public firms, equivalent to around 810 euros per inhabitant. This means the capital city is worse off than Hamburg, for example. To strengthen public investment activity, Berlin’s administrative practices should be thoroughly reviewed in order to gain an overview of its asset situation and public investment requirements. In addition, it is recommended that the structure be organized in content-related special funds or public enterprises with their own personnel and extensive rights to assert claims—similar to Grün Berlin GmbH. Since schools are one of the most important locational factors, not only must gaps in the school infrastructure be closed but also more teachers need to be employed.

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