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Regional variations in firm formation: Panel and cross-section data evidence from Finland

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Author Info
Aki Kangasharju () (Pellervo Economic Research Institute, Eerikinkatu 28, 00180 Helsinki, Finland)

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Abstract

This article investigates regional variations in firm formation in Finland between 1989 and 1993, and estimates the effects of regional factors on firm formation utilising panel and cross-sectional data. Panel data evidence shows that the average size of firms and establishments in the subregions tends to explain firm formation in Finland most robustly. Cross-sectional results for Finland and several other countries tend to show that demand growth is also an important factor explaining regional firm formation. Panel data results appear to differ from the cross-sectional ones.

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Publisher Info
Article provided by Springer in its journal Papers in Regional Science.

Volume (Year): 79 (2000)
Issue (Month): 4 ()
Pages: 355-373
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Handle: RePEc:spr:presci:v:79:y:2000:i:4:p:355-373

Note: Received: 18 December 1997
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Related research
Keywords: Firm formation; regions; panel data;

Other versions of this item:

Find related papers by JEL classification:
R12 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data

Cited by:
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  1. Beugelsdijk, Sjoerd & Noorderhaven, Niels, 2002. "Entrepreneurial attitude and economic growth; a cross-section of 54 regions," ERSA conference papers ersa02p142, European Regional Science Association. [Downloadable!]
    Other versions:
  2. Sjoerd Beugelsdijk, 2004. "Entrepreneurial Culture, Regional Innovativeness and Economic Growth," ERSA conference papers ersa04p210, European Regional Science Association. [Downloadable!]
  3. Gebremariam, Gebremeskel H. & Gebremedhin, Tesfa G. & Schaeffer, Peter V., 2006. "An Empirical Analysis of County-Level Determinants of Small Business Growth Poverty in Appalachia: A Spatial Simultaneous-Equations Approach," 2006 Annual Meeting, February 5-8, 2006, Orlando, Florida 35465, Southern Agricultural Economics Association. [Downloadable!]
  4. Josep Arauzo Carod & Daniel Liviano Solís & Mònica Martín Bofarull, 2008. "New business formation and employment growth: some evidence for the Spanish manufacturing industry," Small Business Economics, Springer, vol. 30(1), pages 73-84, January. [Downloadable!] (restricted)
  5. Nyström, Kristina, 2008. "Regional Institutional Environment and Swedish Regional New Firm Formation," Working Paper Series in Economics and Institutions of Innovation 142, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
  6. Pedro Moyano & Beatriz Fariña & Guillermo Aleixandre & Olga Ogando, 2005. "Enterprise creation at a local scale - determining factors in the case of municipalities in Castilla y León," ERSA conference papers ersa05p516, European Regional Science Association. [Downloadable!]
  7. Dejardin, Marcus, 2002. "Cross-sectoral effects of retailing firm demographies," ERSA conference papers ersa02p292, European Regional Science Association. [Downloadable!]
  8. David M. Brasington, 2002. "Differences in the Production of Education Across Regions and Urban and Rural Areas," Regional Studies, Taylor and Francis Journals, vol. 36(2), pages 137-145, April. [Downloadable!] (restricted)
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