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  • Diskussionspapiere 2031 / 2023

    Causal Misperceptions of the Part-Time Pay Gap

    This paper studies if workers infer from correlation about causal effects in the context of the part-time wage penalty. Differences in hourly pay between full-time and part-time workers are strongly driven by worker selection and systematic sorting. Ignoring these selection effects can lead to biased expectations about the consequences of working part-time on wages (’selection neglect bias’). Based ...

    2023| Annekatrin Schrenker
  • Externe referierte Aufsätze

    Can a Federal Minimum Wage Alleviate Poverty and Income Inequality? Ex-post and Simulation Evidence from Germany

    Minimum wages are increasingly discussed as an instrument against (in-work) poverty and income inequality in Europe. Just recently the German government opted for a substantial ad-hoc increase of the minimum-wage level to euro12 per hour mentioning poverty prevention as an explicit goal. We use the introduction of the federal minimum wage in Germany in 2015 to study its redistributive impact on disposable ...

    In: Journal of European Social Policy im Ersch. (2023), [Online first: 2022-12-20] | Teresa Backhaus, Kai-Uwe Müller
  • Externe referierte Aufsätze

    Parental Leave Policy and Long-run Earnings of Mothers

    Paid parental leave schemes have been shown to increase women’s employment rates but to decrease their wages in case of extended leave duration. In view of these potential trade-offs, many countries are discussing the optimal design of parental leave policies. We analyze the impact of a major parental leave reform on mothers’ long-term earnings. The 2007 German parental leave reform replaced a means-tested ...

    In: Labour Economics 80 (2022), 102296, 13 S. | Corinna Frodermann, Katharina Wrohlich, Aline Zucco
  • Externe referierte Aufsätze

    The Effect of Unemployment on Care Provision

    In this paper we estimate the effect of unemployment on informal care provision. For the identification we use plant closures as a source of exogenous variation and combine difference-in-differences with matching based on entropy balancing. The analysis is based on data from the German Socio-Economic Panel (SOEP). We find that there is a time conflict between employment and informal care provision. ...

    In: The Journal of the Economics of Ageing 23 (2022), 100395, 14 S. | Björn Fischer, Peter Haan, Santiago Salazar Sanchez
  • Research Project

    Distribution effects and incentive effects of coordinated climate and social policy

    The aim of this research project is the development and empirical evaluation of climate and social policy instruments, which on the one hand contribute to achieving climate neutrality by 2045, and on the other hand could be implemented in a socially compatible way. The focus is on empirical analysis of the distribution and incentive effects including their interactions which are evaluated by...

    Current Project| Public Economics
  • Infographic

    The lower the income, the lower the share Riester savers

    05.10.2021
  • DIW Weekly Report 49-52 / 2021

    Universal Capital Endowment and Wealth Taxes Could Reduce Wealth Inequality

    Wealth is very unequally distributed in Germany. To effect a long-term reduction, the new Federal Government could focus on more effectively promoting home ownership, supplementary retirement provision, and other precautionary savings. However, a universal capital endowment could decrease wealth inequality much more rapidly and successfully. In this report, a universal capital endowment of up to 20,000 ...

    2021| Stefan Bach
  • DIW Weekly Report 40 / 2021

    20 Years of the Riester Pension - Personal Retirement Provision Requires Reform

    Introduced 20 years ago as a part of the 2001 pension reform, the Riester pension is meant to function as an essential component of the German pension system with the aim of compensating for decreasing public pensions. However, data collected by the SOEP show that this objective has not yet been achieved. For ten years, use of the Riester pension plan has been stagnating at around 25 percent of the ...

    2021| Johannes Geyer, Markus M. Grabka, Peter Haan
  • DIW Weekly Report 44/45 / 2021

    Need for Long-Term Care Depends on Social Standing

    The poor have a significantly shorter life expectancy than the wealthy. Using data from the Socio-Economic Panel, this Weekly Report shows that poorer people become in need of care earlier in life and more often. In addition, blue-collar workers have a higher risk of requiring care than civil servants, as do people with high job strain compared to those with low job strain. The risk of dependence on ...

    2021| Johannes Geyer, Peter Haan, Hannes Kröger, Maximilian Schaller
  • DIW Weekly Report 27/28 / 2021

    Real Estate Taxation Reform: Tax Land Values, Abolish Privileges

    Real estate is taxed at comparatively low rates in Germany, with primarily the affluent benefiting from numerous existing tax privileges. This Weekly Report describes the current state of real estate taxation in Germany and outlines reform proposals that could increase tax revenue, improve the efficiency of the tax system, and reduce wealth and income inequality. In the case of property tax, value-based ...

    2021| Stefan Bach, Sebastian Eichfelder
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