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Does Entry Regulation Hinder Job Creation? Evidence from the French Retail Industry

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Author Info
Bertrand, Marianne (University of Chicago, CEPR, London and NBER)
Kramarz, Francis () (CREST-INSEE, Paris, CEPR, London and IZA, Bonn)

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Abstract

Are product market and entry regulation key sources of low employment growth in many European countries? We investigate this question in the context of the French retail trade industry. Since 1974, approval by regional zoning boards has been required for the creation or extension of any large retail store in France. We exploit a unique database that provides time and region specific variation in boards’ approval decisions. We show that stronger deterrence of entry by the boards, and the increase in large retail chains’ concentration it induced, slowed down employment growth in France.

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File URL: ftp://repec.iza.org/RePEc/Discussionpaper/dp415.pdf
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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 415.

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Length: 54 pages
Date of creation: Jan 2002
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Handle: RePEc:iza:izadps:dp415

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Related research
Keywords: Zoning regulation retail trade employment

Other versions of this item:

Find related papers by JEL classification:
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
L43 - Industrial Organization - - Antitrust Issues and Policies - - - Legal Monopolies and Regulation or Deregulation
L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce

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This page was last updated on 2008-9-29.

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