Keeping it Together: Tracking Firms on New Zealand’s Longitudinal Business Database
AbstractHaving good longitudinal identifiers is important in empirical microeconomics, since researchers often need to be able to observe the same unit over time to make causal inferences. However, firm identifiers in Statistics New Zealand’s Longitudinal Business Database can be “broken” by, among other things, changes in the legal status of the firm. This paper proposes a simple method for repairing broken firm identifiers, making use of existing plant migration data. We show that making such repairs materially reduces the apparent rate of business entry and exit, and allows real economic phenomena, such as small business incorporation, to be observed for the first time.
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Bibliographic InfoPaper provided by Motu Economic and Public Policy Research in its series Working Papers with number 11_01.
Length: 13 pages
Date of creation: Mar 2011
Date of revision:
firm identifiers; entry and exit; plant transfers;
Find related papers by JEL classification:
- D20 - Microeconomics - - Production and Organizations - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-03-26 (All new papers)
- NEP-BEC-2011-03-26 (Business Economics)
- NEP-ENT-2011-03-26 (Entrepreneurship)
- NEP-ICT-2011-03-26 (Information & Communication Technologies)
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.:
- Richard Fabling & Arthur Grimes, 2009. "The "suite" smell of success: complementary personnel practices and firm performance," Reserve Bank of New Zealand Discussion Paper Series DP2009/13, Reserve Bank of New Zealand.
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"Foreign Acquisition and the Performance of New Zealand Firms,"
Treasury Working Paper Series
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"Firm-level Hiring Difficulties: Persistence, Business Cycle and Local Labour Market Influences,"
13_06, Motu Economic and Public Policy Research.
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- Richard Fabling & David C. Maré, 2012. "Cyclical Labour Market Adjustment in New Zealand: The Response of Firms to the Global Financial Crisis and its Implications for Workers," Working Papers 12_04, Motu Economic and Public Policy Research.
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- Richard Fabling & Arthur Grimes & David C. Maré, 2012. "Performance Pay Systems and the Gender Wage Gap," Working Papers 12_13, Motu Economic and Public Policy Research.
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