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http://hdl.handle.net/10419/24717
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| Title: | | Wage Convergence and Inequality after Unification: (East) Germany in Transition  |
| Authors: | | Gernandt, Johannes Pfeiffer, Friedhelm |
| Issue Date: | | 2008 |
| Series/Report no.: | | ZEW Discussion Papers 08-022 |
| Abstract: | | This paper investigates the wage convergence between East German workers and their West German counterparts after reunification. Our research is based on a comparison of three groups of workers defined as stayers, migrants and commuters to West Germany, who lived in East Germany in 1989, with groups of West German statistical twin workers, all taken from the Socio-Economic Panel (SOEP). According to our findings, wage convergence for stayers is roughly 75 percent and for commuters 85 percent. Wages of migrants to West Germany equal the ones of their West German statistical twins. We conclude that labor markets in East and West Germany are still characterized by wage differences but that the degree of inequality in both regions converged. |
| Subjects: | | Wage convergence wage inequality German unification migration commuting |
| JEL: | | J30 J31 J61 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Publikationen von Forscherinnen und Forschern des ZEW ZEW Discussion Papers
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