Identifying the Effects of Place-based Policies – Causal Evidence from Germany

Eva Dettmann, Matthias Brachert () and Mirko Titze

No 18/2016, IWH Discussion Papers from Halle Institute for Economic Research (IWH)

Abstract: The German government provides discretionary investment grants to structurally weak regions to reduce regional disparities. We use a regression discontinuity design that exploits an exogenous discrete jump in the probability of receiving investment grants to identify the causal effects of the investment grant on regional outcomes. We find positive effects for regional gross value-added and productivity growth, but no effects for employment and gross wage growth.

Keywords: evaluation; industrial policy; regression discontinuity design (search for similar items in EconPapers)
JEL-codes: A11 D61 H20 Z00 (search for similar items in EconPapers)
Date: 2016
New Economics Papers: this item is included in nep-geo and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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Working Paper: Identifying the Effects of Place-Based Policies - Causal Evidence from Germany (2016)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:iwhdps:iwh-18-16

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