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A Note on Small Business Survival Rates in Rural Areas: The Case of Washington State

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  • GRANT D. FORSYTH

Abstract

ABSTRACT Using Washington State Department of Revenue and Employment Security Department data, this article uses non‐parametric duration analysis to examine the nine‐year time path of rural firm survival and hazard rates. The focus is on a cohort of rural firms that started operations in 1992; the cohort is followed up to the year 2000. Survival rates are estimated by using standard non‐parametric (life‐table) duration analysis. Using straightforward statistical tests, the study finds evidence that survival rates are statistically higher for firms that start as employers and for firms in the natural resource and service‐based sectors.

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  • Grant D. Forsyth, 2005. "A Note on Small Business Survival Rates in Rural Areas: The Case of Washington State," Growth and Change, Wiley Blackwell, vol. 36(3), pages 428-440, June.
    • Handle: RePEc:bla:growch:v:36:y:2005:i:3:p:428-440
    DOI: 10.1111/j.1468-2257.2005.00284.x
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    Cited by:

    1. Carla Calá & Josep-Maria Arauzo-Carod & Miguel Manjón-Antolín, 2015. "The determinants of exit in a developing country: core and peripheral regions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(3), pages 927-944, May.
    2. Siegrun Brink, 2009. "Bedeutung der VC-Finanzierung für die Legitimierung junger Unternehmen - Ergebnisse einer empirischen Studie," Schumpeter Discussion Papers sdp09010, Universitätsbibliothek Wuppertal, University Library.
    3. Lee, Jungho & Xu, Jianhuan, 2020. "Why do businesses grow faster in urban areas than in rural areas?," Regional Science and Urban Economics, Elsevier, vol. 81(C).
    4. Calá, Carla Daniela, 2014. "Regional issues on firm entry and exit in Argentina: core and peripheral regions," Nülan. Deposited Documents 2023, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    5. Calá, Carla Daniela & Manjón Antolín, Miguel C. & Arauzo Carod, Josep Maria, 2014. "The Determinants of Exit in Argentina: Core and Peripheral Regions," Working Papers 2072/225299, Universitat Rovira i Virgili, Department of Economics.
    6. Calá, Carla Daniela, 2018. "Sectoral and regional determinants of firm dynamics in developing countries: evidence for low-, mediumand high-tech manufacturing in Argentina," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), April.
    7. Sarah A. Low & Jason P. Brown, 2017. "Manufacturing Plant Survival in a Period of Decline," Growth and Change, Wiley Blackwell, vol. 48(3), pages 297-312, September.
    8. Franziska Stelzer, 2008. "Legitimierungsstrategien junger Unternehmen - Ergebnisse einer experimentellen Studie," Schumpeter Discussion Papers sdp08006, Universitätsbibliothek Wuppertal, University Library.
    9. Low, Sarah A., 2017. "Rural Manufacturing Resilience: Factors Associated With Plant Survival, 1996-2011," Economic Research Report 262184, United States Department of Agriculture, Economic Research Service.
    10. Smith, Daniel & Old, Kevin & Renwick, Alan & Westbrooke, Victoria, 2023. "The Characteristics, Challenges, and Resilience of Small Rural Farm-Support Agribusiness: A systematic literature review," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 31(1), April.
    11. Andrew J. Van Leuven & Sarah A. Low & Edward (Ned) Hill, 2023. "What side of town? How proximity to critical survival factors affects rural business longevity," Growth and Change, Wiley Blackwell, vol. 54(2), pages 352-385, June.
    12. Solano, Alexis & Kimber, Kandace & Turner, Honie, 2018. "A Two-way Fixed Effects Approach to Analyzing the Value-Added Producer Grant Program," 2018 Annual Meeting, August 5-7, Washington, D.C. 274487, Agricultural and Applied Economics Association.
    13. Calá, Carla Daniela, 2015. "Firm dynamics in developing countries: a single policy for all regions?," Nülan. Deposited Documents 2650, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    14. Jean-Pierre Huiban, 2011. "The spatial demography of new plants: urban creation and rural survival," Small Business Economics, Springer, vol. 37(1), pages 73-86, July.
    15. Geoffrey Propheter, 2020. "Does Proximity to a New Sports Facility Affect Existing Businesses’ Survival Time?," Journal of Sports Economics, , vol. 21(5), pages 451-476, June.
    16. Tessa Conroy & Steven Deller, 2023. "I will survive…but at what (opportunity) cost?: A spatial analysis of business survival and Jacobian externalities," Growth and Change, Wiley Blackwell, vol. 54(2), pages 550-571, June.
    17. Stevenson, Marcie & Artz, Georgeanne, 2017. "Improving rural business development, one firm at a time: A look at the effects of the USDA’s Value-Added Producer Grant on firm survival," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252785, Southern Agricultural Economics Association.

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