Entry regulation and business start-ups : evidence from Mexico
Abstract
The authors estimate the effect on business start-ups of a program that significantly speeds up firm registration procedures. The program was implemented in Mexico in different municipalities at different dates. Authors estimates suggest that new start-ups increased by about 4 percent in eligible industries, and the authors present evidence that this is a causal effect. Most of the effect is temporary, concentrated in the first 10 months after implementation. The effect is robust to several specifications of the benchmark control group time trends. The authors find that the program was more effective in municipalities with less corruption and cheaper additional procedures.Download Info
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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 4322.Length:
Date of creation: 01 Aug 2007
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Handle: RePEc:wbk:wbrwps:4322
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Keywords: Corporate Law; Microfinance; Regional Governance; Urban Governance and Management; Urban Partnerships&Poverty;Other versions of this item:
- Kaplan, David S. & Piedra, Eduardo & Seira, Enrique, 2011. "Entry regulation and business start-ups: Evidence from Mexico," Journal of Public Economics, Elsevier, vol. 95(11), pages 1501-1515.
- David Kaplan & Eduardo Piedra & Enrique Seira, 2007. "Are Burdensome Registration Procedures an Important Barrier on Firm Creation? Evidence from Mexico," Working Papers 0701, Centro de Investigacion Economica, ITAM.
- D02 - Microeconomics - - General - - - Institutions: Design, Formation, and Operations
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-08-27 (All new papers)
- NEP-COM-2007-08-27 (Industrial Competition)
- NEP-DEV-2007-08-27 (Development)
- NEP-REG-2007-08-27 (Regulation)
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As found by EconAcademics.org, the blog aggregator for Economics research:- Business registration and informality
by Straub in Stephane Straub on 2012-03-20 09:12:11
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