@TechReport{iza:izadps:dp8593, author={Möller, Joachim and Zierer, Marcus}, title={The Impact of the German Autobahn Net on Regional Labor Market Performance: A Study Using Historical Instrument Variables}, year={2014}, month={Oct}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={8593}, url={https://www.iza.org/index.php/publications/dp8593}, abstract={This paper analyzes the impact of the German autobahn net on the economic performance of German regions. To address endogeneity and reverse causation problems, we use historical instrument variables, i.e. a plan of the railroad net in 1890 and a plan of the autobahn net in 1937. We find a statistically and economically significant causal effect of transport infrastructure investments as measured by changes in the length of the autobahn net of West German NUTS 3 areas on regional employment and the wage bill.}, keywords={transport infrastructure;regional labor market performance;historical instrumental variables;reverse causation;new economic geography}, }