Abstract

Local employment growth is decomposed (utilizing an augmented Shift-Share regression) in a component related to the industry structure/the industry specific growth rates (as well as parts correlated with other variables describing the economic environment, such as qualification or establishment size structure) and a local component.
 

As metric for employment growth we use the full-time equivalent of the average employment volume and its growth rate for the period from 1993 to 2008 for the 412 German NUTS-3 regions. The industry classification relies on the double-letters according to NACE (or, as German equivalent, the WZ93/WZ03 classification).