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IAW study shows: Temporary employment pay gap is closed

A recent IAW study commissioned by the Gesamtverband der Personaldienstleister e.V. (GVP) examines wage differences between employees in and outside of temporary work based on the 2023 earnings structure survey. This initially shows unadjusted wage gaps at the expense of temporary work - both in monthly earnings and in hourly pay. However, if a comparison is made between similar employees in and outside temporary employment, the difference in monthly wages is significantly smaller. In the case of hourly wages, there is no longer a wage gap when taking into account the different characteristics of employees in and outside temporary employment if the statistical twin method (matching) is used. When regression models are used, there is even an inverse wage gap in payment per hour in favor of temporary work.

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July 9, 2025: 10th Bundesbank-IAW-Lecture at the University of Tübingen

The Deutsche Bundesbank, Head Office Stuttgart, and the Institute for Applied Economic Research e.V. (IAW) cordially invite you to the 10th Bundesbank-IAW Lecture at the University of Tübingen on Wednesday, July 9, 2025 at 2:15 p.m. in the New Auditorium (Neue Aula) of the University.

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Target achieved, but challenges still remain – monetary policy since the 2021 strategy review.

Dr. Joachim Nagel, President of the Deutsche Bundesbank.

See invitation for further information.

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The USA's “reciprocal” tariffs: a look behind the tariff formula

Just under 100 days into US President Donald Trump's second term in office, the impact of his decisions on the global economy is becoming increasingly clear. These include the imposition of tariffs on US imports from other countries. In his latest article for IAW Impulse, IAW Research Fellow Prof. Dr. Benjamin Jung examines the extent to which this measure comes close to the declared goal of reducing the United States' trade deficits with other countries (in German).

June 27, 2025: II IAW Workshop Growth. Prosperity. Democracy - Deciding and acting in the face of increasing uncertainty

The IAW workshop takes place in Stuttgart and is dedicated to the following questions:
- State of scientific knowledge on growth, income and wealth distribution, nature consumption and democracy. Are there gaps in research and knowledge?
- How can an informed public discourse with rational decisions for action emerge from scientific findings?
- How does this discourse fit into practical processes of the emergence of communicative power and its institutional implementation in administrative power? What roles do actors as diverse as scientists, NGOs, political parties and the media play in this process?
- What are the factors that turn knowledge of and about problems into a trigger for rapid countermeasures, even if these involve serious impositions for the citizens affected?
- Why are insights into the need for self-restraint reinterpreted as restrictions on freedom that inhibit action? How can a revision succeed?

Programme (in German)

Please note: The number of participants is limited to 25. We therefore ask you to register early by e-mail to michael.mangold@iaw.edu

News from the IAW: IAW News 1/2025 online

  • Improved data and models for analysing trade and investment policy
  • Managing gender equality in the SGB II target management system only possible with gender-differentiated key figures
  • Obituary: Honorary member former Federal President Professor Dr Horst Köhler deceased

IAW News 1/2025 (in German)

Bundesbank-IAW lecture event with panel discussion at Haus der Wirtschaft, Stuttgart

Award of the Norbert Kloten Prize for Applied Economic Research 2025 to:

Mr Jan Jacobsen, M.Sc. for his Master's thesis Do Finfluencers Give Good Investment Advice? A large-scale, LLMpowered Analysis of the Profitability of Investment Recommendations on YouTube. Supervisor: Professor Dr Dominik Papies, Chair of Marketing at the Faculty of Economics and Social Sciences at the Eberhard Karls University of Tübingen.

Photo: Deutsche Bundesbank

From left to right: Prof Dr Martin Biewen, Director of the IAW, Jan Jacobsen and Dr Patricia Staab, President of the Head Office of the Deutsche Bundesbank in Baden-Württemberg.

Lecture

Germany in international tax competition (in German).

Photo: Deutsche Bundesbank

Professor Dr Dr h.c. Clemens Fuest (Professor of Economics at the Ludwig Maximilian University of Munich and President of the ifo Institute).

Panel discussion

Photo: Deutsche Bundesbank

  • Raoul Didier, Head of the Tax Policy Department at DGB
  • Professor Dr Dr h.c. Clemens Fuest, President of the ifo Institute
  • Dr Tobias Hentze, Head of the Thematic Cluster State, Taxes, Social Security at IW Köln
  • Julia Jirmann, Tax Policy Officer of the Tax Justice Network
  • Moderation: Johannes Pennekamp (FAZ)

Political uncertainty makes forecasts difficult - Economic forecast for Baden-Württemberg for the 1st quarter of 2025.

Following the year of recession in 2024, gross domestic product (GDP) in Baden-Württemberg could grow slightly again in 2025. The latest nowcast from the Institute for Applied Economic Research (IAW) and the University of Hohenheim predicts real growth in economic output of 0.2 per cent for the first quarter of 2025. The forecast growth rates for the second and third quarters of 2025 are also positive.

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Bureaucracy in social law - reasons and solutions.

The ongoing debates about reducing bureaucracy make it clear how much bureaucratic burdens characterise the everyday lives of citizens and companies, but also the public administration itself. Bureaucratic hurdles can have far-reaching consequences, particularly in social law and the granting of social benefits. In a current IAW article, the reasons for the complexity of this problem and various approaches to reducing bureaucracy in social law, some of which have already been implemented or are in the process of being implemented, are outlined.

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