I will survive…but at what (opportunity) cost?: A spatial analysis of business survival and Jacobian externalities

IF 2.9 3区 经济学 Q1 DEVELOPMENT STUDIES
Tessa Conroy, Steven Deller
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引用次数: 0

Abstract

Using insights gained from Jacobian externalities, we consider how a more diverse economic industrial base relates to business survival rates. While a low survival rate is often perceived negatively among policy-makers, evidence suggests that business exit is part of a dynamic and robust economy. The high opportunity cost of continuing with a struggling business in a more diversified economy may ultimately sway entrepreneurs with less competitive ventures to exit leading to lower survival rates. We model average 5-year survival rates at the county level annually from 1990 to 2012 employing a spatial panel Durbin specification. The data support the central hypothesis that more diversified economies increase the opportunity costs of operating an underperforming new business, thereby lowering survival rates.

我会活下来,但代价是什么?:企业生存与雅可比外部性的空间分析
利用从雅可比外部性中获得的见解,我们考虑了更多样化的经济工业基础与企业存活率之间的关系。虽然决策者往往认为企业存活率低是负面的,但有证据表明,企业退出是充满活力和强劲经济的一部分。在一个更加多元化的经济环境中,继续经营一家苦苦挣扎的企业的高机会成本可能最终会影响那些竞争力较弱的企业的企业家退出,从而导致更低的存活率。我们采用空间面板德宾规范,对1990年至2012年每年县一级的平均5年生存率进行建模。这些数据支持了一个中心假设,即更多元化的经济增加了运营表现不佳的新业务的机会成本,从而降低了存活率。
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来源期刊
Growth and Change
Growth and Change Multiple-
CiteScore
6.40
自引率
3.10%
发文量
55
期刊介绍: Growth and Change is a broadly based forum for scholarly research on all aspects of urban and regional development and policy-making. Interdisciplinary in scope, the journal publishes both empirical and theoretical contributions from economics, geography, public finance, urban and regional planning, agricultural economics, public policy, and related fields. These include full-length research articles, Perspectives (contemporary assessments and views on significant issues in urban and regional development) as well as critical book reviews.
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