Technical Appendix for The Costs of Remoteness: Evidence from German Division and Reunification

Section A of this technical appendix contains a more detailed exposition of the multi-region version of the Helpman (1998) model discussed in Section 3 of the paper. Section B discusses in greater detail the calibration of the model to data on cities in pre-war Germany and the simulation of the impact of German division based on central values of parameters from the existing literature (Section 3.3 of the paper). Section C reports details of the robustness tests for our baseline estimation which we briefly discuss in Section 5.2 of the paper. Section D contains the detail on the aggregations undertaken to deal with city mergers and make the administrative city data as comparable as possible over time.