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A spatial and sectoral analysis of firm demography in Italy

Author

Listed:
  • Giuseppe Espa
  • Danila Filipponi
  • Diego Giuliani
  • Davide Piacentino

Abstract

This paper looks at spatial and sectoral effects on firm entry and exit in Italian NUTS-3 regions, over the period 2004-2009. We use a new version of spatial shift-share decomposition which looks more effectively at the neighbourhood influence, beyond traditionally looking at national, industrial mix and regional-shift components. We separately analyse the sub-periods 2004-2007 and 2007-2009, in order to take into account the 2007 crisis. Results seem to be substantially divergent between the Southern regions, i.e. the poorest areas, and the rest of Italy. The firm demography seems to manifest higher instability over time, i.e. more entries but also more exits, in the Southern regions and this is associated with the presence of industrial mix disadvantage. On other hand, the firm demography is more stable, i.e. less entries but also less exits, in the rest of Italy and this reflects an industrial mix advantage. Such results seems to be widespread within the two macro-areas as the analysis of neighbourhood influence points out. externalities.

Suggested Citation

  • Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2013. "A spatial and sectoral analysis of firm demography in Italy," DEM Discussion Papers 2013/07, Department of Economics and Management.
    • Handle: RePEc:trn:utwpem:2013/07
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    References listed on IDEAS

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    2. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2014. "Decomposing regional business change at plant level in Italy: A novel spatial shift-share approach," Papers in Regional Science, Wiley Blackwell, vol. 93, pages 113-135, November.
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    Cited by:

    1. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2015. "Effetti spaziali o settoriali? La crescita della dimensione media d?impresa in Italia," SCIENZE REGIONALI, FrancoAngeli Editore, vol. 2015(1), pages 41-65.

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    More about this item

    Keywords

    firm demography; crisis; spatial shift-share; Italian regions;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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