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Non linearità e dinamica della dimensione d'impresa in Italia

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Author Info
Roberto Basile () (ISAE - Institute for Studies and Economic Analyses)
Sergio de Nardis (ISAE - Institute for Studies and Economic Analyses)

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Abstract

Using a balanced longitudinal data set on Italian manufacturing firms born in 1996 and active in 2000, we analyse the firm size dynamics. The aim is to assess the presence of non-linearities and/or discontinuities in the growth behaviour generated by the employment protection legislation (EPL), which is much stricter for firms with more than 15 employees (“articolo 18 Statuto dei Lavoratori”). Local regression estimates suggest that firms with an initial size close to 15 employees are more reluctant to grow. Furthermore, conditional density estimates show that firms close to the 15 employees threshold are more likely to move backward than upward with respect to this threshold. We interpret these results as a necessary but not sufficient evidence of a negative effect of the EPL. Indeed, they could also be consistent with optimal choices of growth behaviour regardless the strictness of EPL.

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Publisher Info
Paper provided by ISAE - Institute for Studies and Economic Analyses - (Rome, ITALY) in its series ISAE Working Papers with number 40.

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Length: 28 pages
Date of creation: Jan 2004
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Handle: RePEc:isa:wpaper:40

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Related research
Keywords: Firm growth; Gibrat’s Law; Italy; Non-linearities; Discontinuity; Conditional Density.;

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Find related papers by JEL classification:
L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
J4 - Labor and Demographic Economics - - Particular Labor Markets
C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Semiparametric and Nonparametric Methods

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Francesca Lotti & Enrico Santarelli, 2001. "Industry Dynamics and the Distribution of Firm Sizes: A Non-Parametric Approach," LEM Papers Series 2001/14, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy. [Downloadable!]
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  2. Garibaldi, Pietro & Pacelli, Lia & Borgarello, Andrea, 2003. "Employment Protection Legislation and the Size of Firms," IZA Discussion Papers 787, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  3. Luís M B Cabral & José Mata, 2003. "On the Evolution of the Firm Size Distribution: Facts and Theory," American Economic Review, American Economic Association, vol. 93(4), pages 1075-1090, September. [Downloadable!]
    Other versions:
  4. F. Lotti & E. Santarelli & M. Vivarelli, 1999. "Does Gibrat’s Law Hold in the Case of Young, Small Firms?," Working Papers 361, Dipartimento Scienze Economiche, Universita' di Bologna. [Downloadable!]
  5. Gianni Principe, 2003. "Soglie Dimensionali e Regolazione del Rapporto di Lavoro in Italia," ISAE Working Papers 36, ISAE - Institute for Studies and Economic Analyses - (Rome, ITALY). [Downloadable!]
  6. Jinyong Hahn & Petra Todd & Wilbert Van der Klaauw, 1999. "Evaluating the Effect of an Antidiscrimination Law Using a Regression-Discontinuity Design," NBER Working Papers 7131, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  7. Geroski, P. A., 1995. "What do we know about entry?," International Journal of Industrial Organization, Elsevier, vol. 13(4), pages 421-440, December. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Sergio de Nardis & Massimo Mancini & Carmine Pappalardo, 2003. "Regolazione del mercato del lavoro e crescita dimensionale delle imprese: Una verifica sull'effetto soglia dei 15 dipendenti," ISAE Working Papers 38, ISAE - Institute for Studies and Economic Analyses - (Rome, ITALY). [Downloadable!]
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