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Are Senior Entrepreneurs Happier than Who? The Role of Income and Health

We propose an extension of the standard occupational choice model to analyze the life satisfaction of senior entrepreneurs as compared to paid employees and particularly retirees in Germany. The analysis identifies income and health status as main factors that shape the relationship between occupational status and life satisfaction. Senior entrepreneurs enjoy higher levels of life satisfaction than ...

The retirement mortality puzzle: Evidence from a regression discontinuity design

I estimate the effect of retirement on mortality, exploiting two discontinuities at age-based eligibility thresholds for pension claiming in Germany. The analysis is based on unique social security records that document the age at death for the universe of participants in the German public pension system. Using variation from bunching of retirements at age-based eligibility thresholds, I demonstrate ...

Minimum Wage Non-Compliance: The Role of Co-Determination

We analyse in what way co-determination affects non-compliance with the German minimum wage, which was introduced in 2015. The Works Constitution Act (WCA), the law regulating co-determination at the plant level, provides works councils with indirect means to ensure compliance with the statutory minimum wage. Based on this legal situation, our theoretical model predicts that non-compliance is less ...

SOEP Annual Report 2023

The Integration of Migrants in the German Labor Market: Evidence Over 50 Year

Germany has become the second-most important destination for migrants worldwide. Using all waves from the microcensus, we study their labor market integration over the last 50 years and highlight differences to the US case. Although the employment gaps between immigrant and native men decline after arrival, they remain large for most cohorts; the average gap after one decade is 10 pp. Conversely, income ...

Context, health and migration: a systematic review of natural experiments

Background: Migration health research pays little attention to the places into which people migrate. Studies on health effects of contextual factors are often limited because of the ability of individuals to self-select their environment, but natural experiments may allow for the causal effect of contexts to be examined. The objective was to synthesise the evidence on contextual health effects from ...

Atypical work, financial assets, and asset poverty in Germany

This study investigates how atypical employment (i.e., part-time, temporary work, mini-jobs) affects workers' ability to accumulate financial assets and exposes them to asset poverty in Germany. Asset poverty occurs when household financial resources (e.g., bank deposits and stock equity) are insufficient to live at the income poverty line for three months. Previously, studies on labour market ...

Ethnic spatial dispersion and immigrant identity

The role of ethnic clustering in ethnic identity formation has remained unexplored, mainly due to missing detailed data. This study closes the knowledge gap for Germany by employing a unique combination of datasets, the survey data from the German Socio-Economic Panel and disaggregated information at low geographical levels from the last two but still unexploited full German censuses, 1970 and 1987. ...

Selection, socialization, and risk preferences in the finance industry: Longitudinal evidence for German finance professionals

The financial sector plays a crucial role in society. Consequently, prior research has examined the preferences of professionals working in finance. However, these studies have tended to be cross-sectional and have neglected the dynamic roles played by (self-)selection and socialization. This paper uses longitudinal data from Germany to examine how individuals’ financial risk preferences affect their ...

Accounting For Individual-Specific Reliability of Self-Assessed Measures of Economic Preferences and Personality Traits

Measures based on self-assessments, which are increasingly important in empirical economic research, are plagued by measurement error. This paper presents the first attempt at measuring both revealed and self-reported reliability of individuals’ answers on selfreports of latent characteristics. We show that measurement error on self-reports relevant to economists is heterogeneous across individuals ...