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Welcome at the Institute for Applied Economic Research at the University of Tübingen (IAW)

The Institute for Applied Economic Research, located in Tübingen, Germany, is an independent research institute at the University of Tübingen. The IAW’s objective is

to apply economic and social research to issues relating to the private and public economy. Its scientific work contributes to the empirical basis for economic policymaking.

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Subjects

In the following, you will receive an overview of the individual subjects. For more information please click on the topic of interest.

In this field of research, IAW mainly focuses on impact analyses and process-accompanying evaluations of various labor market policies. Another research topic are the effects of legal regulations on the labor market.

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Labor market policy

Demographic change, the shortage of skilled workers and the increasing inequality of market incomes are central challenges for the social security system. Our research focuses on poverty and wealth, social mobility, rehabilitation and retirement, and working conditions in care.

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Social policy and nursing

Research on education issues is an important field of research at the IAW. The focus is on the transition between school and work, on the development of training and further education, on digitization processes in the education sector and on the returns to education.

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Educational research

The IAW feels closely connected to the state of Baden-Württemberg and its economic and social development. In many research projects, we examine current challenges, opportunities and risks of companies and employees in different industries and regions of Baden-Württemberg.

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Baden-Württemberg

We investigate the significance of international trade and migration for incomes and employment in the state of Baden-Württemberg and the German economy. The focus of our research lies in trade agreements as well as European Integration on goods and factor markets.

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Foreign trade

Due to demographic change, the topics of migration and integration will gain in importance in the future. Quantitative questions becoming increasingly important for the national economy, e.g. forms of managing immigration and the attractiveness for potential migrants, while qualitative questions may treat about criteria for successful integration.

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Migration and integration

News

A master plan for SMEs in Baden-Württemberg.

On behalf of the Ministry of Economic Affairs, Labour and Tourism, a scientific consortium consisting of the Centre for European Economic Research Mannheim (ZEW), the Institute for Applied Economic Research Tübingen (IAW) and the Institute for SME Research Mannheim (ifm) has developed a master plan for SMEs in Baden-Württemberg in order to strengthen SMEs as the heart and backbone of Baden-Württemberg's economy. The report analyses the strengths and weaknesses of SMEs and recommends a comprehensive three-stage action programme based on 1. urgency, 2. broad impact and 3. transformation management.

The report (in German) can be downloaded here.

The press release from the Ministry of Economic Affairs, Labour and Tourism (in German) is available here.

Large labour force potential is not being used.

Germany is sitting on a veritable treasure trove of untapped labour potential. The greatest lever for releasing this potential lies in increasing the number of working hours per capita and not in increasing the number of people in employment. There are still large reserves in the labour force participation of the over 50 to 70-year-olds and immigrants living in Germany. There is also a great deal of potential among women working part-time without children to look after. This was determined by the Institute for Applied Economic Research (IAW) on behalf of the Family Business Foundation in a simulation calculation.

Press release (in German)

The study (in German) can be downloaded here.

News from the IAW: IAW News 3/2024 online

  • Labor shortage increases employment of Ukrainian refugees
  • Economic forecast for Baden-Württemberg - 3rd quarter 2024: Economy in the cold zone
  • Bundesbank-IAW Lecture 2024 with Prof. Moritz Schularick: Geo-economic challenges for Europe
  • 5th annual conference of the Better Regulation and Bureaucracy Reduction Network on the topic of “Evidence-based bureaucracy reduction” (2.10.2024)

IAW-News 3/2024 (in German)

Economic situation in Baden-Württemberg: Forecast for the third quarter of 2024 - Economy in the cold zone

Gross domestic product (GDP) continued to decline in Baden-Württemberg in the third quarter of 2024. According to the latest nowcast from the Institute for Applied Economic Research (IAW) and the University of Hohenheim, GDP - adjusted for seasonal and working day effects - fell by 0.2% in the third quarter of 2024 compared to the second quarter. If the results of the nowcast are confirmed, this would be the fifth quarter in a row with negative economic growth. No fundamental change in the trend is discernible for the two subsequent quarters either.

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In Baden-Württemberg, the proportion of Ukrainians in employment is steadily increasing.

Of the 125,000 Ukrainians seeking protection in Baden-Württemberg (as of the end of 2023), around one in five people (22 percent) of working age are now in employment. Around four out of five Ukrainian employees are subject to social security contributions, although the proportion of women is slightly lower than that of men. On average, 10 percent of all companies in Baden-Württemberg report contact with a person who has fled from Ukraine (previous year: 7 percent). Around 40 percent of companies with at least one contact request reported a subsequent employment relationship (previous year: 29 percent). Companies with vacancies are four times more likely to employ Ukrainian refugees than companies without vacancies. In particular, companies with vacancies that require a low level of qualification are more likely to employ a refugee from Ukraine.

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