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Regional interplay of factors informing SMES’ density in Romania. A panel data analysis

Author

Listed:
  • Elena DRUICĂ

    (University of Bucharest, Romania)

  • Zizi GOSCHIN

    (Bucharest University of Economic Studies, Romania)

  • Ana-Maria GRIGORE

    (University of Bucharest, Romania)

Abstract

The aim of this paper is to provide an understanding of several factors associated with the SMEs’ density distribution across Romania, and to discuss how some of the variables acknowledged in the international literature as determinants in SMEs’ dynamic are related to SMEs’ density in this case. We fitted four static panel models, one for each category of SMEs, and found a positive impact of both GDP per capita and FDI per capita on the SMEs’ density in each category, which may confirm our initial assumption that SMEs’ density can act as a signal for business opportunity. The density of employees in the research – development sector did not account for any significant contribution, while the percent of people in the 25 – 34 age group is statistically significant but holds an opposite sign to what was expected. Last, but not least, the crisis had an unexpected impact on our dependent variables.

Suggested Citation

  • Elena DRUICĂ & Zizi GOSCHIN & Ana-Maria GRIGORE, 2017. "Regional interplay of factors informing SMES’ density in Romania. A panel data analysis," Eastern Journal of European Studies, Centre for European Studies, Alexandru Ioan Cuza University, vol. 8, pages 79-95, June.
    • Handle: RePEc:jes:journl:y:2017:v:8:p:79-95
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    References listed on IDEAS

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    Cited by:

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    2. Zizi Goschin & Elena Druică & Călin Vâlsan, 2020. "Shaped by location? A spatial panel analysis of Romanian family businesses," Regional Science Policy & Practice, Wiley Blackwell, vol. 12(5), pages 893-911, October.

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