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The Relevance of Initial Conditions for the German Unification


  • Brakman, Steven
  • Garretsen, Harry


The authors analyze whether and how recent theories in which equilibria are path-dependent can be used to sustain the proposition that the adverse initial conditions are relevant for the long-run outcome of the German unification process. Though these theories are rather abstract, they strongly suggest that the actual analysis of the unification process should take into account the fact that initial conditions of the German unification are probably more important than the neoclassical theory predicts. Copyright 1993 by WWZ and Helbing & Lichtenhahn Verlag AG

Suggested Citation

  • Brakman, Steven & Garretsen, Harry, 1993. "The Relevance of Initial Conditions for the German Unification," Kyklos, Wiley Blackwell, vol. 46(2), pages 163-181.
  • Handle: RePEc:bla:kyklos:v:46:y:1993:i:2:p:163-81

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    References listed on IDEAS

    1. La Porta, Rafael & Lopez-de-Silanes, Florencio & Shleifer, Andrei & Vishny, Robert, 1999. "The Quality of Government," Journal of Law, Economics, and Organization, Oxford University Press, vol. 15(1), pages 222-279, April.
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    7. Bleaney, Michael & Nishiyama, Akira, 2002. "Explaining Growth: A Contest between Models," Journal of Economic Growth, Springer, vol. 7(1), pages 43-56, March.
    8. Kevin D. Hoover & Stephen J. Perez, 2004. "Truth and Robustness in Cross-country Growth Regressions," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 66(5), pages 765-798, December.
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    10. Albouy, David, 2006. "The Colonial Origins of Comparative Development: An Investigation of the Settler Mortality Data," Center for International and Development Economics Research, Working Paper Series qt8kt576x8, Center for International and Development Economics Research, Institute for Business and Economic Research, UC Berkeley.
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    13. Dani Rodrik, 2004. "Institutions and Economic Performance - Getting Institutions Right," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 2(2), pages 10-15, October.
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    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Steven Brakman & Harry Garretsen & Marc Schramm, 2004. "The Spatial Distribution of Wages: Estimating the Helpman-Hanson Model for Germany," Journal of Regional Science, Wiley Blackwell, vol. 44(3), pages 437-466.
    2. S. Brakman & H Garretsen & M. Schramm, 2003. "The Strategic Bombing of German Cities during World War II and its Impact for Germany," Working Papers 03-08, Utrecht School of Economics.
    3. Krenz, Astrid, 2016. "Agglomeration of knowledge in the German regional economy," Center for European, Governance and Economic Development Research Discussion Papers 277, University of Goettingen, Department of Economics.
    4. Cristobal, Adolfo, 2007. "Trade and migration: a U-shaped transition in Eastern Europe," MPRA Paper 3446, University Library of Munich, Germany.
    5. Steven Brakman & Harry Garretsen & Marc Schramm, 2000. "The Empirical Relevance of the New Economic Geography: Testing for a Spatial Wage Structure in Germany," CESifo Working Paper Series 395, CESifo Group Munich.
    6. B├╝ttner, Thiess, 1994. "The new Laender as an industry location in unified Germany," Discussion Papers 16, University of Konstanz, Center for International Labor Economics (CILE).
    7. Brakman, Steven & Garretsen, Harry & Schramm, Marc, 2002. "New economic geography in Germany : testing the Helpman-Hanson model," HWWA Discussion Papers 172, Hamburg Institute of International Economics (HWWA).
    8. repec:use:tkiwps:088 is not listed on IDEAS
    9. Robert Brooks & Robert Faff & David Sokulsky, 2005. "The stock market impact of German reunification: international evidence," Applied Financial Economics, Taylor & Francis Journals, vol. 15(1), pages 31-42.
    10. Paus, Eva A., 1998. "Structural adjustment and manufacturing sector competitiveness: Lessons from post-unification East Germany," World Development, Elsevier, vol. 26(10), pages 1839-1857, October.

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