Abstract

In regional economics temporary shocks, e.g. population inflow through migration, in the long-run can either alter the spatial distribution shifting the economy from its equilibrium to a new one or return to the old steady state. Empirical results (e.g. Brakman et al. (2004), Davis/Weinstein (2002)) show that the economy returns to its old spatial distribution after a negative exogenous population shock. Schumann (2014) shows a persistent population differences within Baden-Württemberg between the former US and French occupation zone. The spatial discontinuity was caused by the refugee migration after the Second World-War into the US but not into the French parts. 20 years after the exogenous shock the population differences between the regions were still 17.8 Percent.
In this project we try to evaluate the following effects of this population shock on regional variables on firm-level. For instance, does this inflow cause persistent differences in the spatial distribution of wages, firm growth or skill composition?

In this project we try to evaluate the following effects of this population shock on regional variable on the firm-level. For instance, does this inflow cause persistent differences in the spatial distribution of wages, firm growth or skill composition?