IDEAS home Printed from https://ideas.repec.org/a/taf/irapec/v29y2015i5p701-715.html
   My bibliography  Save this article

Does dependence on internal finance help explain the prevailing pattern of manufacturing? The case of the Italian Mezzogiorno

Author

Listed:
  • Domenico Sarno

Abstract

The purpose of the paper is to ascertain a possible relationship between sectorial financial dependence and the regional industrialization pattern in the backward areas of Southern Italy, the so-called Italian Mezzogiorno. The analysis is based on a definition of financial dependence different to that of Rajan-Zingales in that it is determined as the contribution of internal resources to the financing of firm growth and is measured through the estimation of the LPE standard model augmented by the cash flow variable on a large sample of Italian SMEs observed from 2001-2008. The relationship between sectorial measures of financial dependence and composition of manufacturing in Italian Southern regions is then tested; the analysis shows that firms' shares of the low financial dependence sectors tend to prevail in manufacturing in the Southern regions.

Suggested Citation

  • Domenico Sarno, 2015. "Does dependence on internal finance help explain the prevailing pattern of manufacturing? The case of the Italian Mezzogiorno," International Review of Applied Economics, Taylor & Francis Journals, vol. 29(5), pages 701-715, September.
    • Handle: RePEc:taf:irapec:v:29:y:2015:i:5:p:701-715
    DOI: 10.1080/02692171.2015.1054370
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/02692171.2015.1054370
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/02692171.2015.1054370?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    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:taf:irapec:v:29:y:2015:i:5:p:701-715. 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.

    We have no bibliographic 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CIRA20 .

    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.