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Do Market Regulation and Financial Imperfections Affect Firm Size? New Empirical Evidence

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Author Info
Raquel Fonseca () (University of Salerno and CSEF)
Natalia Utrero González () (Universidad Autonoma de Barcelona and CSEF)

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Abstract

This paper investigates the importance that market regulation and financial imperfections have in firm size. We analyse institutions affecting labour market as Employment Protection Laws (EPL) and Product Market Regulation (PMR). Moreover, we study the effects of these institutions on firm growth. We use data from 29 industrial sectors across 15 developed countries. We find that market regulations related to financial imperfections help to explain differences in firm structure across countries.

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Publisher Info
Paper provided by Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy in its series CSEF Working Papers with number 119.

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Date of creation: 01 May 2004
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Handle: RePEc:sef:csefwp:119

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Related research
Keywords: Financial development; labour market institutions; firm structure;

Find related papers by JEL classification:
G2 - Financial Economics - - Financial Institutions and Services
G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Capital and Ownership Structure
J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Private Pensions
L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General

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References listed on IDEAS
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Full references

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. Raquel FONSECA & Natalia UTRERO- GONZALEZ, 2005. "Financial Development, Labor and Market Regulations and Growth," Finance 0509016, EconWPA. [Downloadable!]
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