Article in Journal
The Long-term Impact of University Openings on Local Wages
Clemens Fuest, Lea Immel
ifo Institut, Dresden, 2021
ifo Dresden berichtet, 2021, 28, Nr. 4, 24-28
ifo Institut, Dresden, 2021
ifo Dresden berichtet, 2021, 28, Nr. 4, 24-28
In this article, we investigate the long-term impact of university openings on local wages. Our study shows that establishing a new university has a positive long-term effect on wages in surrounding counties. The magnitude of this wage effect differs along the wage distribution as well as between different employee subgroups. Moreover, the effect is driven by establishing universities of applied sciences and by universities in urban regions.