IDEAS home Printed from https://ideas.repec.org/p/ags/aesc17/258643.html
   My bibliography  Save this paper

Evaluating the Effectiveness of Axis 3-LEADER Grants on Job Creation

Author

Listed:
  • Angioloni, Simone
  • Sherry, Erin
  • Wu, Ziping

Abstract

This study investigates the relationship between the number of jobs created and funding granted as part of the Community Led Local Development element within the Northern Ireland Rural Development Programme. Analysis is carried out using ex-post application-level data associated with Axis 3-‘improving the quality of life and the management of economic activity’ during the 2007-2013 period. A two-step procedure is used to estimate a negative binomial model and correct for sample selection. A joint estimation was performed to allow for correlation between the structural and selection equations. Results indicate that there is a positive and statistically significant relationship between the number of created jobs and the amount of awarded grant per application and, moreover, that this relationship depends on the categories, or Measures, within Axis 3. The more economic-focused Measures (Diversification into non-Agricultural Activities, Business Creation and Development, and Encouragement of Tourism Activities) showed a statistically significant link between the amount of public funds and job creation. No such relationship was found for the other Measures. Finally, in cases where public funds are linked to job creation, we found that this happens only above a given threshold, namely two or three jobs.

Suggested Citation

  • Angioloni, Simone & Sherry, Erin & Wu, Ziping, 2017. "Evaluating the Effectiveness of Axis 3-LEADER Grants on Job Creation," 91st Annual Conference, April 24-26, 2017, Royal Dublin Society, Dublin, Ireland 258643, Agricultural Economics Society.
    • Handle: RePEc:ags:aesc17:258643
    DOI: 10.22004/ag.econ.258643
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/258643/files/Simone_Angioloni_Angioloni.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.258643?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Krishna B. Kumar & Raghuram G. Rajan & Luigi Zingales, "undated". "What Determines Firm Size?," CRSP working papers 496, Center for Research in Security Prices, Graduate School of Business, University of Chicago.
    2. Grossman, Sanford J & Hart, Oliver D, 1983. "An Analysis of the Principal-Agent Problem," Econometrica, Econometric Society, vol. 51(1), pages 7-45, January.
    3. Murphy, Kevin M & Topel, Robert H, 2002. "Estimation and Inference in Two-Step Econometric Models," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(1), pages 88-97, January.
    4. Alexander Hijzen & Holger Görg & Robert C. Hine, 2005. "International Outsourcing and the Skill Structure of Labour Demand in the United Kingdom," Economic Journal, Royal Economic Society, vol. 115(506), pages 860-878, October.
    5. Adriaan Van Stel & David Storey, 2004. "The Link between Firm Births and Job Creation: Is there a Upas Tree Effect?," Regional Studies, Taylor & Francis Journals, vol. 38(8), pages 893-909.
    6. William H. Greene, 1994. "Accounting for Excess Zeros and Sample Selection in Poisson and Negative Binomial Regression Models," Working Papers 94-10, New York University, Leonard N. Stern School of Business, Department of Economics.
    7. Mas-Colell, Andreu & Whinston, Michael D. & Green, Jerry R., 1995. "Microeconomic Theory," OUP Catalogue, Oxford University Press, number 9780195102680.
    8. Terza, Joseph V., 1998. "Estimating count data models with endogenous switching: Sample selection and endogenous treatment effects," Journal of Econometrics, Elsevier, vol. 84(1), pages 129-154, May.
    9. Borislava Mihaylova & Andrew Briggs & Anthony O'Hagan & Simon G. Thompson, 2011. "Review of statistical methods for analysing healthcare resources and costs," Health Economics, John Wiley & Sons, Ltd., vol. 20(8), pages 897-916, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Freund, Deborah A. & Kniesner, Thomas J. & LoSasso, Anthony T., 1999. "Dealing with the common econometric problems of count data with excess zeros, endogenous treatment effects, and attrition bias," Economics Letters, Elsevier, vol. 62(1), pages 7-12, January.
    2. William Greene, 2009. "Models for count data with endogenous participation," Empirical Economics, Springer, vol. 36(1), pages 133-173, February.
    3. Greene, William, 2007. "Functional Form and Heterogeneity in Models for Count Data," Foundations and Trends(R) in Econometrics, now publishers, vol. 1(2), pages 113-218, August.
    4. Robert Innes & Abdoul G. Sam, 2008. "Voluntary Pollution Reductions and the Enforcement of Environmental Law: An Empirical Study of the 33/50 Program," Journal of Law and Economics, University of Chicago Press, vol. 51(2), pages 271-296, May.
    5. J. M. C. Santos Silva & Silvana Tenreyro, 2015. "Trading Partners and Trading Volumes: Implementing the Helpman–Melitz–Rubinstein Model Empirically," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 77(1), pages 93-105, February.
    6. Athreya, Kartik B., 2014. "Big Ideas in Macroeconomics: A Nontechnical View," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262019736, December.
    7. Ronald B. Davies & Rodolphe Desbordes, 2015. "Greenfield FDI and skill upgrading: A polarized issue," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 48(1), pages 207-244, February.
    8. Luis H. B. Braido, 2008. "Evidence on the Incentive Properties of Share Contracts," Journal of Law and Economics, University of Chicago Press, vol. 51(2), pages 327-349, May.
    9. Chade, Hector & Kovrijnykh, Natalia, 2016. "Delegated information acquisition with moral hazard," Journal of Economic Theory, Elsevier, vol. 162(C), pages 55-92.
    10. Bilgic, Abdulbaki & Florkowski, Wojciech J., 2003. "Explaning Anglers Behavior Using Count Data Models With Endogenous Switching Regime," 2003 Annual meeting, July 27-30, Montreal, Canada 22087, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Damien S Eldridge, 2007. "A Shirking Theory of Referrals," Working Papers 2007.05, School of Economics, La Trobe University.
    12. Papakonstantinou, A. & Rogers, A & Gerding, E. H. & Jennings, N. R., 2010. "Mechanism Design for the truthful elicitation of costly probabilistic estimates in Distributed Information Systems," MPRA Paper 43324, University Library of Munich, Germany.
    13. Samuel Bowles & Wendy Carlin, 2020. "What Students Learn in Economics 101: Time for a Change," Journal of Economic Literature, American Economic Association, vol. 58(1), pages 176-214, March.
    14. Staffan Canback, 2004. "Diseconomies of scale in large corporations: Theory and empirical analysis," Industrial Organization 0402001, University Library of Munich, Germany.
    15. William H. Greene & David A. Hensher, 2008. "Modeling Ordered Choices: A Primer and Recent Developments," Working Papers 08-26, New York University, Leonard N. Stern School of Business, Department of Economics.
    16. Donald S. Kenkel & Joseph V. Terza, 2001. "The effect of physician advice on alcohol consumption: count regression with an endogenous treatment effect," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 16(2), pages 165-184.
    17. William Greene, 2010. "A stochastic frontier model with correction for sample selection," Journal of Productivity Analysis, Springer, vol. 34(1), pages 15-24, August.
    18. Kuersten, Wolfgang & Linde, Rainer, 2011. "Corporate hedging versus risk-shifting in financially constrained firms: The time-horizon matters!," Journal of Corporate Finance, Elsevier, vol. 17(3), pages 502-525, June.
    19. William Greene, 2014. "Models for ordered choices," Chapters, in: Stephane Hess & Andrew Daly (ed.), Handbook of Choice Modelling, chapter 15, pages 333-362, Edward Elgar Publishing.
    20. Inci, A. Can, 2012. "Insider trading activity, tenure length, and managerial compensation," Global Finance Journal, Elsevier, vol. 23(3), pages 151-166.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aesc17:258643. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aesukea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.