IDEAS home Printed from https://ideas.repec.org/p/zbw/koncil/16.html
   My bibliography  Save this paper

The new Laender as an industry location in unified Germany

Author

Listed:
  • Büttner, Thiess

Abstract

This paper discusses whether the dominant position of the Old Laender's economy in the unified Germany hampers the reemergence of industrial production in the New Laender. For that purpose productivity differences are explained by specialization advantages of industrial agglomerations, which are localized by transport costs. The industrial locations are endogenized in a model with trade, migration and also interregional firm location. To point out the relationship of the theoretical argument to the conditions in unified Germany the roles of transport costs, trade in intermediates, congestion effects, start-up costs, and knowledge spillovers are discussed. Although the influence of the agglomerative forces can not be rejected, a persistent deindustrialization of the New-Laender is found difficult to project.

Suggested Citation

  • Büttner, Thiess, 1994. "The new Laender as an industry location in unified Germany," Discussion Papers 16, University of Konstanz, Center for International Labor Economics (CILE).
    • Handle: RePEc:zbw:koncil:16
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/92425/1/717200892.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Fujita,Masahisa, 1991. "Urban Economic Theory," Cambridge Books, Cambridge University Press, number 9780521396455, January.
    2. Steven Brakman & Harry Garretsen, 1993. "The Relevance of Initial Conditions for the German Unification," Kyklos, Wiley Blackwell, vol. 46(2), pages 163-181, May.
    3. Arbeitsgemeinschaft Deutscher Wirtschaftswissenschaftlicher Forschungsinstitute, 1994. "Die Lage der Weltwirtschaft und der deutschen Wirtschaft im Herbst 1994," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 61(43), pages 715-750.
    4. Arbeitsgemeinschaft Deutscher Wirtschaftswissenschaftlicher Forschungsinstitute, 1993. "Die Lage der Weltwirtschaft und der deutschen Wirtschaft im Herbst 1993," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 60(43), pages 607-642.
    5. Arbeitsgemeinschaft Deutscher Wirtschaftswissenschaftlicher Forschungsinstitute, 1993. "Die Lage der Weltwirtschaft und der deutschen Wirtschaft im Frühjahr 1993," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 60(18/19), pages 237-274.
    6. Breuel, Birgit & Necker, Tyll & Späth, Lothar & Donges, Juergen B., 1993. "Erhaltung industrieller Kerne in Ostdeutschland?," Wirtschaftsdienst – Zeitschrift für Wirtschaftspolitik (1949 - 2007), ZBW - Leibniz Information Centre for Economics, vol. 73(2), pages 59-70.
    7. Arbeitsgemeinschaft Deutscher Wirtschaftswissenschaftlicher Forschungsinstitute, 1992. "Die Lage der Weltwirtschaft und der deutschen Wirtschaft im Herbst 1992," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 59(44), pages 561-600.
    8. Grossman, Gene M & Helpman, Elhanan, 1990. "Trade, Innovation, and Growth," American Economic Review, American Economic Association, vol. 80(2), pages 86-91, May.
    9. Paul Krugman, 1992. "A Dynamic Spatial Model," NBER Working Papers 4219, National Bureau of Economic Research, Inc.
    10. Feenstra, Robert C., 1996. "Trade and uneven growth," Journal of Development Economics, Elsevier, vol. 49(1), pages 229-256, April.
    11. Franz, Wolfgang, 1991. "German labour markets after unification," Discussion Papers, Series II 162, University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy".
    12. Burda, Michael C & Wyplosz, Charles, 1991. "Labour Mobility and German Integration: Some Vignettes," CEPR Discussion Papers 615, C.E.P.R. Discussion Papers.
    13. Gene M. Grossman & Elhanan Helpman, 1993. "Innovation and Growth in the Global Economy," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262570971, December.
    14. Koller, Martin & Jung-Hammon, Thomas, 1993. "Regionale und sektorale Schwerpunkte des Arbeitsplatzabbaus in Ostdeutschland," Mitteilungen aus der Arbeitsmarkt- und Berufsforschung, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 26(1), pages 7-27.
    15. Brakman, Steven & Garretsen, Harry, 1993. "The Relevance of Initial Conditions for the German Unification," Kyklos, Wiley Blackwell, vol. 46(2), pages 163-181.
    16. Arbeitsgemeinschaft Deutscher Wirtschaftswissenschaftlicher Forschungsinstitute, 1992. "Die Lage der Weltwirtschaft und der deutschen Wirtschaft im Frühjahr 1992," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 59(16/17), pages 199-234.
    17. Arbeitsgemeinschaft Deutscher Wirtschaftswissenschaftlicher Forschungsinstitute, 1994. "Die Lage der Weltwirtschaft und der deutschen Wirtschaft im Frühjahr 1994," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 61(16/17), pages 229-236.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Büttner, Thiess, 1995. "Komplementäre Standortentscheidungen und die räumliche Verteilung der Produktion," Discussion Papers 26, University of Konstanz, Center for International Labor Economics (CILE).
    2. Boss, Alfred & Döpke, Jörg & Fischer, Malte & Krämer, Jörg W. & Langfeldt, Enno & Schatz, Klaus-Werner, 1994. "Bundesrepublik Deutschland: Aufschwung setzt sich fort," Open Access Publications from Kiel Institute for the World Economy 1625, Kiel Institute for the World Economy (IfW Kiel).
    3. Boss, Alfred, 1994. "Öffentliche Finanzen: Stand, mittelfristige Perspektiven und wirtschaftliche Ansatzpunkte," Kiel Working Papers 629, Kiel Institute for the World Economy (IfW Kiel).
    4. Heilemann, Ullrich & Stekler, H. O., 2003. "Has the accuracy of German macroeconomic forecasts improved?," Technical Reports 2003,31, Technische Universität Dortmund, Sonderforschungsbereich 475: Komplexitätsreduktion in multivariaten Datenstrukturen.
    5. David Begg & Richard Portes, 1993. "Eastern Germany since unification: wage subsidies remain a better way," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 1(4), pages 383-400, December.
    6. Brakman, Steven & Garretsen, Harry & Schramm, Marc, 2001. "New economic geography in Germany: testing the Helpman-Hanson model," Research Report 01D46, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    7. Brakman, Steven & Garretsen, Harry & Schramm, Marc, 2002. "New Economic Geography in Germany: Testing the Helpman-Hanson Model," Discussion Paper Series 26183, Hamburg Institute of International Economics.
    8. S. Brakman & H Garretsen & M. Schramm, 2003. "The Strategic Bombing of German Cities during World War II and its Impact for Germany," Working Papers 03-09, Utrecht School of Economics.
    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. Boss, Alfred & Fischer, Malte & Krämer, Jörg W. & Langfeldt, Enno & Schatz, Klaus-Werner & Trapp, Peter, 1992. "Bundesrepublik Deutschland: in der Rezession," Open Access Publications from Kiel Institute for the World Economy 1544, Kiel Institute for the World Economy (IfW Kiel).
    11. Palivos, Theodore & Wang, Ping, 1996. "Spatial agglomeration and endogenous growth," Regional Science and Urban Economics, Elsevier, vol. 26(6), pages 645-669, December.
    12. Philippe Michel & Anne Perrot & Jacques-François Thisse, 1996. "Interregional equilibrium with heterogeneous labor," Journal of Population Economics, Springer;European Society for Population Economics, vol. 9(1), pages 95-113, February.
    13. Döpke, Jörg & Langfeldt, Enno, 1997. "Abnehmende Bedeutung der Lagerinvestitionen für den Konjunkturverlauf?," Kiel Working Papers 815, Kiel Institute for the World Economy (IfW Kiel).
    14. Gao, Yanyan & Zheng, Jianghuai, 2020. "The impact of high-speed rail on innovation: An empirical test of the companion innovation hypothesis of transportation improvement with China’s manufacturing firms," World Development, Elsevier, vol. 127(C).
    15. 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.
    16. repec:use:tkiwps:088 is not listed on IDEAS
    17. David Camilo López & Enrique López Enciso & Enrique Montes, 2015. "Colombia en el comercio mundial (1992-2012): desempeño de las exportaciones colombianas," Borradores de Economia 885, Banco de la Republica de Colombia.
    18. Harry Bloch, 1996. "Changes in the International Competitiveness of Australian Manufacturing: 1968 to 1989," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 29(3), pages 308-319, July.
    19. Robert Dekle & Jonathan Eaton, 1994. "Agglomeration and the Price of Land: Evidence from the Prefectures," NBER Working Papers 4781, National Bureau of Economic Research, Inc.
    20. Yugang He & Chunlei Wang, 2022. "Does Buddhist Tourism Successfully Result in Local Sustainable Development?," Sustainability, MDPI, vol. 14(6), pages 1-15, March.
    21. Robin Boadway & Nicolas Marceau & Maurice Marchand, 1996. "Issues in decentralizing the provision of education," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 3(3), pages 311-327, July.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:koncil:16. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/fwkonde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.