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  • Refereed essays Web of Science

    Deindustrialisation and the Polarisation of Household Incomes: The Example of Urban Agglomerations in Germany

    The tertiarisation, or perhaps more accurately, the deindustrialisation of the economy has left deep scars on cities. It is evident not only in the industrial wastelands and empty factory buildings, but also in the income and social structures of cities. Industrialisation, collective wage setting, and the welfare state led to a stark reduction in income differences over the course of the 20th century. ...

    In: Urban Studies 55 (2018), 4, S. 790-806 | Martin Gornig, Jan Goebel
  • Refereed essays Web of Science

    Voting for Direct Democratic Participation: Evidence from an Initiative Election

    We study a constitutional change in the German State of Bavaria where citizens, not politicians, granted themselves more say in politics at the local level through a state initiative election in 1995. This institutional setting allows us to observe revealed preferences for direct democracy and to identify factors which explain these preferences. Empirical evidence suggests that support for direct democracy ...

    In: International Tax and Public Finance 23 (2016), 4, S. 716-740 | Felix Arnold, Ronny Freier, Magdalena Pallauf, David Stadelmann
  • Refereed essays Web of Science

    Environmental Policies and Productivity Growth: Evidence across Industries and Firms

    This paper investigates the impact of changes in environmental policy stringency on industry- and firm-level productivity growth in a panel of OECD countries. To test the strong version of the Porter Hypothesis (PH), we extend a neo-Schumpeterian productivity model to allow for effects of environmental policies. We use a new environmental policy stringency (EPS) index and let the effect of countries׳ ...

    In: Journal of Environmental Economics and Management 81 (2017), S. 209-226 | Silvia Albrizio, Tomasz Kozluk, Vera Zipperer
  • Refereed essays Web of Science

    Productivity Measurement with Natural Capital

    This paper proposes a measurement framework that explicitly accounts for the role of natural capital in productivity measurement. It is applied to aggregate economy data from the OECD Productivity Database, with natural capital data from the World Bank. It is shown that the direction of the adjustment to productivity growth depends on the rate of change of natural capital extraction relative to the ...

    In: The Review of Income and Wealth 63 (2017), S.1, S. 7-21 | Nicola Brandt, Paul Schreyer, Vera Zipperer
  • Refereed essays Web of Science

    Do Media Data Help to Predict German Industrial Production?

    In an uncertain world, decisions by market participants are based on expectations. Therefore, sentiment indicators reflecting expectations have a proven track record at predicting economic variables. However, survey respondents largely perceive the world through media reports. Here, we want to make use of that. We employ a rich dataset provided by Media Tenor International, based on sentiment analysis ...

    In: Journal of Forecasting 36 (2017), 5, S. 483-496 | Konstantin A. Kholodilin, Dirk Ulbricht, Tobias Thomas
  • Refereed essays Web of Science

    The Effect of Face-to-Face Interviewing on Personality Measurement: Brief Report

    In recent years, an increasing number of nationally representative surveys in the social sciences and economics have implemented the Big Five model of personality. While many personality inventories were originally developed in the context of self-administered questionnaires, they are often used by large surveys in face-to-face interview settings instead. Drawing on an experimental research design, ...

    In: Journal of Research in Personality 63 (2016), S. 133-136 | Luisa Hilgert, Martin Kroh, David Richter
  • Refereed essays Web of Science

    Effective European Antitrust: Does EC Merger Policy Generate Deterrence?

    We estimate the deterrence effects of European Commission (EC) merger policy instruments over the 1990–2009 period. Our empirical results suggest phase-1 remedies uniquely generate robust deterrence as—unlike phase-1 withdrawals, phase-2 remedies, and preventions—phase-1 remedies lead to fewer merger notifications in subsequent years. Furthermore, the deterrence effects of phase-1 remedies work best ...

    In: Economic Inquiry 54 (2016), 4, S. 1884-1903 | Joseph A. Clougherty, Tomaso Duso, Miyu Lee, Jo Seldeslachts
  • Refereed essays Web of Science

    Regulation and Investment Incentives in Electricity Distribution: An Empirical Assessment

    We analyze the effects of incentive regulation with revenue caps on the investment behaviors of 109 German electricity distribution companies. We hypothesize that with Germany's implementation of incentive regulation in 2009 firms increase their investments in the base year when the rate base is determined for the following regulatory period. We build a model that controls for both firm-specific heterogeneity ...

    In: Energy Economics 57 (2016), S. 192-203 | Astrid Cullmann, Maria Nieswand
  • Refereed essays Web of Science

    Parental Health and Child Behavior: Evidence from Parental Health Shocks

    This study examines the importance of parental health in the development of child behavior during early childhood. Our analysis is based on child psychometric measures from a longitudinal German dataset, which tracks mothers and their newborns up to age six. We identify major changes in parental health (shocks) and control for a variety of initial characteristics of the child including prenatal conditions. ...

    In: Review of Economics of the Household 14 (2016), 3, S. 577-598 | Andrea M. Mühlenweg, Franz G. Westermaier, Brant Morefield
  • Refereed essays Web of Science

    Sovereign Risk, Interbank Freezes, and Aggregate Fluctuations

    This paper shows how spillovers from sovereign risk to banks׳ access to wholesale funding establish a bank-sovereign nexus. In a dynamic stochastic general equilibrium set-up, heterogeneous banks give rise to an interbank market where government bonds are used as collateral. Government borrowing under limited commitment is costly ex ante as bank funding conditions tighten when the quality of collateral ...

    In: European Economic Review 87 (2016), S. 34-61 | Philipp Engler, Christoph Große Steffen
  • Refereed essays Web of Science

    Securities Fraud and Corporate Board Turnover: New Evidence from Lawsuit Outcomes

    We examine the relationship between outcomes of securities fraud class action lawsuits (SFCAs) and corporate board turnover rates. Our results indicate that turnover rates for board members are higher when a firm settles a lawsuit than when a suit is dismissed. Outside director turnover is most sensitive to SFCA outcomes, perhaps reflecting reputational effects. Results demonstrate that involvement ...

    In: International Review of Law and Economics 48 (2016), S.14-25 | Christopher F. Baum, James G. Bohn, Atreya Chakraborty
  • Refereed essays Web of Science

    Stationary Changes in Long-Run Energy Commodity Prices

    Situated at the intersection of the literatures on speculative storage and non-renewable commodity scarcity, this paper considers whether changes in persistence have occurred in long-run U.S. prices of the energy commodities crude oil, natural gas and bituminous coal. We allow for a structural break when testing for a break in persistence to avoid a change in the stochastic properties of prices being ...

    In: Energy Economics 59 (2016), S. 96-103 | Aleksandar Zaklan, Jan Abrell, Anne Neumann
  • Refereed essays Web of Science

    Personality Development in Old Age Relates to Physical Health and Cognitive Performance: Evidence from the Berlin Aging Study II

    We examine how late-life personality development relates to overall morbidity as well as specific performance-based indicators of physical and cognitive functioning in 1,232 older adults in the Berlin Aging Study II (aged 65-88 years). Latent growth models indicated that, on average, neuroticism and conscientiousness decline over time, whereas extraversion and openness increase and agreeableness remains ...

    In: Journal of Research in Personality 65 (2016), S. 94-108 | Swantje Müller, Jenny Wagner, Johanna Drewelies, Sandra Düzel, Peter Eibich, Jule Specht, Ilja Demuth, Elisabeth Steinhagen-Thiessen, Gert G. Wagner, Denis Gerstorf
  • Refereed essays Web of Science

    Hidden Skewness: On the Difficulty of Multiplicative Compounding under Random Shocks

    Multiplicative growth processes that are subject to random shocks often have an asymmetric distribution of outcomes. In a series of incentivized laboratory experiments, we show that a large majority of participants either strongly underestimatethe asymmetry or ignore it completely. Participants misperceive the spread of the outcome distribution to be too narrowband, and they estimate the median and ...

    In: Management Science 64 (2018), 4, S. 1693-1706 | Ludwig Ensthaler, Olga Nottmeyer, Georg Weizsäcker, Christian Zankiewicz
  • Refereed essays Web of Science

    Imprecise Information Disclosure and Truthful Certification

    This article studies the interaction of information disclosure and reputational concerns in certification markets. We argue that by revealing information less precisely, a certifier reduces the threat of capture because this reduces her gains from selling fraudulent certificates. As a result, only imprecise disclosure rules are implementable for intermediate discount factors. Our results therefore ...

    In: European Economic Review 89 (2016), S. 345-360 | Martin Pollrich, Lilo Wagner
  • Refereed essays Web of Science

    The Market Value of Energy Efficiency in Buildings and the Mode of Tenure

    Concerns about global warming and growing scarcity of fossil fuels require substantial changes in energy consumption patterns and energy systems, as targeted by many countries around the world. One key element to achieve such transformation is to increase energy efficiency of the housing stock. In this context, it is frequently argued that private investments are too low in the light of the potential ...

    In: Urban Studies 54 (2017), 14, S. 3218-3238 | Claus Michelsen, Andreas Mense, Konstantin Kholodilin
  • Refereed essays Web of Science

    Comparing Wealth - Data Quality of the HFCS

    The Household Finance and Consumption Survey (HFCS) provides information about house-hold wealth (real and financial assets as well as liabilities) from 15 Euro-countries around the year 2010 (first wave). The survey will be the central dataset in this topic in the future. However, several aspects point to potential methodological constraints regarding cross-country comparability. Therefore the aim ...

    In: Survey Research Methods 10 (2016), 2, S. 119-142 | Anita Tiefensee, Markus M. Grabka
  • Refereed essays Web of Science

    Institutional Determinants of Financial Development in MENA Countries

    Developed and well regulated financial markets are usually seen as a precondition for an efficient allocation of resources and can foster long term economic growth. This paper explores the institutional determinants for financial development in the countries of the Middle East and North African (MENA) region. Institutional conditions are from the International Country Risk Guide. Panel-econometric ...

    In: Review of Development Economics 20 (2016), 3, S. 670-680 | Mondher Cherif, Christian Dreger
  • Refereed essays Web of Science

    Granularity in Banking and Growth: Does Financial Openness Matter?

    We explore the impact of large banks and of financial openness for aggregate growth. Large banks matter because of granular effects: if markets are very concentrated in terms of the size distribution of banks, idiosyncratic shocks at the bank-level do not cancel out in the aggregate but can affect macroeconomic outcomes. Financial openness may affect GDP growth in and of itself, and it may also influence ...

    In: Journal of Banking & Finance 77 (2017), S. 300-316 | Franziska Bremus, Claudia M. Buch
  • Refereed essays Web of Science

    Reduction in Emergency Department Visits for Children's Asthma, Ear Infections, and Respiratory Infections after the Introduction of State Smoke-Free Legislation

    Despite the benefits of smoke-free legislation on adult health, little is known about its impact on children's health. We examined the effects of tobacco control policies on the rate of emergency department (ED) visits for childhood asthma (N = 128,807), ear infections (N = 288,697), and respiratory infections (N = 410,686) using outpatient ED visit data in Massachusetts (2001 − 2010), New Hampshire ...

    In: Preventive Medicine 89 (2016), S. 278–285 | Summer Sherburne Hawkins, Sylvia Hristakeva, Mark Gottlieb, Christopher F. Baum
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