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Local Multipliers in New Firm Creation: Inter-Sectoral Spillovers of Entrepreneurship and Startup Agglomeration

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  • Jungho Kim

Abstract

This paper investigates the local multiplier effects in new firm creation by analysing a unique panel dataset of new firms and patents at the regional level in Australia. It finds that new firms in the tradable sector such as low-technology manufacturing and knowledge-intensive services industries have local multiplier effects on new firm creation in the non-tradable sector such as other services industries. It also shows that the local multiplier effect in new firm creation exists between manufacturing and knowledge-intensive services industries in the tradable sector. The local multipliers are greater in regions with more patents than in other regions.

Suggested Citation

  • Jungho Kim, 2021. "Local Multipliers in New Firm Creation: Inter-Sectoral Spillovers of Entrepreneurship and Startup Agglomeration," Global Economic Review, Taylor & Francis Journals, vol. 50(3), pages 213-234, July.
    • Handle: RePEc:taf:glecrv:v:50:y:2021:i:3:p:213-234
    DOI: 10.1080/1226508X.2021.1874465
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