IDEAS home Printed from https://ideas.repec.org/p/spo/wpmain/infohdl2441-125h4fg7e89gi95ui3ml6ggod9.html
   My bibliography  Save this paper

The impact of Urban Enterprise Zones on establishment location decisions and labor market outcomes: evidence from France

Author

Listed:
  • Thierry Mayer

    (Département d'économie)

  • Florian Mayneris

    (Institut de recherches économiques et sociales)

  • Loriane Py

    (Banque de France)

Abstract

In this article, we study the impact of a French enterprise zone program—the ‘Zones Franches Urbaines’ (ZFUs) policy—on establishment location decisions and on labor market outcomes. Our main identification strategy, which combines spatial and time differencing, shows that conditional on locating in a municipality that hosts a ZFU, the policy has a positive and sizable impact on the probability to locate in the ZFU part rather than in the non-ZFU part of municipalities. However, the impact is highly heterogeneous across zones, industries and firms. We also show that this positive effect is entirely due to within-municipality diversion effects. Regarding labor market outcomes, the policy has a positive effect on employment, especially for low-wage workers. As for wages, the effect is null for low-wage workers, and negative for high-wage ones.

Suggested Citation

  • Thierry Mayer & Florian Mayneris & Loriane Py, 2017. "The impact of Urban Enterprise Zones on establishment location decisions and labor market outcomes: evidence from France," Sciences Po publications info:hdl:2441/125h4fg7e89, Sciences Po.
  • Handle: RePEc:spo:wpmain:info:hdl:2441/125h4fg7e89gi95ui3ml6ggod9
    as

    Download full text from publisher

    File URL: http://spire.sciencespo.fr/hdl:/2441/125h4fg7e89gi95ui3ml6ggod9/resources/2017-mayer-mayneris-and-py-the-impact-of-urban-enterprise-zones-on-establishment-location-decisions-and-labor-market-outcomes-evidence-from-france-.pdf
    Download Restriction: no

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Florian Mayneris, 2017. "Effets des infrastructures de transport sur le niveau et la localisation des activités économiques," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2017023, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    2. Denis Anne & Julie Le Gallo & Yannick L'Horty, 2018. "Faciliter la mobilité quotidienne des jeunes éloignés de l’emploi : une évaluation expérimentale," TEPP Research Report 2018-02, TEPP.
    3. Cecile Gaubert, 2018. "Firm Sorting and Agglomeration," NBER Working Papers 24478, National Bureau of Economic Research, Inc.

    More about this item

    Keywords

    Firm location; Enterprise zones; Employment; Wages; Spatial differencing;

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R38 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Government Policy
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:spo:wpmain:info:hdl:2441/125h4fg7e89gi95ui3ml6ggod9. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Spire @ Sciences Po Library). General contact details of provider: http://edirc.repec.org/data/ecspofr.html .

    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.

    We have no references for this item. You can help adding them by using 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.