Obstacles to Convergence in Regional Development: Behavioral Explanations

Project summary

The apparent persistence of differences in labor market outcomes and economic development across regions motivates project A07 on behavioral explanations of labor market mobility, female labor force participation, and fertility. Specifically, three main issues will be addressed: (i) The role of heterogeneity in preferences and attitudes for explaining the heterogeneity of labor market outcomes in the aftermath of German Unification. (ii) The relevance of behavioral aspects for migration decisions and labor market mobility. (iii) The importance of attitudes and other behavioral aspects to explain fertility.