IDEAS home Printed from https://ideas.repec.org/p/trn/utwpem/2013-07.html
   My bibliography  Save this paper

A spatial and sectoral analysis of firm demography in Italy

Author

Listed:
  • Giuseppe Espa
  • Danila Filipponi
  • Diego Giuliani
  • Davide Piacentino

Abstract

This paper looks at spatial and sectoral effects on firm entry and exit in Italian NUTS-3 regions, over the period 2004-2009. We use a new version of spatial shift-share decomposition which looks more effectively at the neighbourhood influence, beyond traditionally looking at national, industrial mix and regional-shift components. We separately analyse the sub-periods 2004-2007 and 2007-2009, in order to take into account the 2007 crisis. Results seem to be substantially divergent between the Southern regions, i.e. the poorest areas, and the rest of Italy. The firm demography seems to manifest higher instability over time, i.e. more entries but also more exits, in the Southern regions and this is associated with the presence of industrial mix disadvantage. On other hand, the firm demography is more stable, i.e. less entries but also less exits, in the rest of Italy and this reflects an industrial mix advantage. Such results seems to be widespread within the two macro-areas as the analysis of neighbourhood influence points out. externalities.

Suggested Citation

  • Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2013. "A spatial and sectoral analysis of firm demography in Italy," DEM Discussion Papers 2013/07, Department of Economics and Management.
    • Handle: RePEc:trn:utwpem:2013/07
    as

    Download full text from publisher

    File URL: http://www.unitn.it/files/download/27419/demdp2013_07new.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Suahasil Nazara & Geoffrey J.D. Hewings, 2004. "Spatial Structure and Taxonomy of Decomposition in Shift‐Share Analysis," Growth and Change, Wiley Blackwell, vol. 35(4), pages 476-490, September.
    2. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2014. "Decomposing regional business change at plant level in Italy: A novel spatial shift-share approach," Papers in Regional Science, Wiley Blackwell, vol. 93, pages 113-135, November.
    3. Henry Renski, 2011. "External economies of localization, urbanization and industrial diversity and new firm survival," Papers in Regional Science, Wiley Blackwell, vol. 90(3), pages 473-502, August.
    4. Giorgio Fazio & Davide Piacentino, 2010. "A Spatial Multilevel Analysis of Italian SMEs' Productivity," Spatial Economic Analysis, Taylor & Francis Journals, vol. 5(3), pages 299-316.
    5. De Silva, Dakshina G. & McComb, Robert P., 2012. "Geographic concentration and high tech firm survival," Regional Science and Urban Economics, Elsevier, vol. 42(4), pages 691-701.
    6. Shaoming Cheng, 2011. "Business cycle, industrial composition, or regional advantage? A decomposition analysis of new firm formation in the United States," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(1), pages 147-167, August.
    7. Martin Andersson & Sierdjan Koster, 2011. "Sources of persistence in regional start-up rates--evidence from Sweden," Journal of Economic Geography, Oxford University Press, vol. 11(1), pages 179-201, January.
    8. Catherine Armington & Zoltan J. Acs, 2008. "The Determinants of Regional Variation in New Firm Formation," Chapters, in: Entrepreneurship, Growth and Public Policy, chapter 18, pages 224-243, Edward Elgar Publishing.
    9. 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.
    10. Mercedes Delgado & Michael E. Porter & Scott Stern, 2010. "Clusters and entrepreneurship," Journal of Economic Geography, Oxford University Press, vol. 10(4), pages 495-518, July.
    11. Davide Piacentino & Erasmo Vassallo, 2011. "Exploring the sources of labour productivity growth and convergence in the Italian regions: some evidence from a production frontier approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 46(2), pages 469-486, April.
    12. Otto Raspe & Frank Oort, 2011. "Growth of new firms and spatially bounded knowledge externalities," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 46(3), pages 495-518, June.
    13. Marcus Dejardin, 2011. "Linking net entry to regional economic growth," Small Business Economics, Springer, vol. 36(4), pages 443-460, May.
    14. David Audretsch & Iñaki Peña-Legazkue, 2012. "Entrepreneurial activity and regional competitiveness: an introduction to the special issue," Small Business Economics, Springer, vol. 39(3), pages 531-537, October.
    15. Zoltan Acs & David Audretsch & Pontus Braunerhjelm & Bo Carlsson, 2012. "Growth and entrepreneurship," Small Business Economics, Springer, vol. 39(2), pages 289-300, September.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2015. "Effetti spaziali o settoriali? La crescita della dimensione media d?impresa in Italia," SCIENZE REGIONALI, FrancoAngeli Editore, vol. 2015(1), pages 41-65.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2014. "Decomposing regional business change at plant level in Italy: A novel spatial shift-share approach," Papers in Regional Science, Wiley Blackwell, vol. 93, pages 113-135, November.
    2. Arbia, Giuseppe & Espa, Giuseppe & Giuliani, Diego & Dickson, Maria Michela, 2014. "Spatio-temporal clustering in the pharmaceutical and medical device manufacturing industry: A geographical micro-level analysis," Regional Science and Urban Economics, Elsevier, vol. 49(C), pages 298-304.
    3. Davide Piacentino & Giuseppe Espa & Danila Filipponi & Diego Giuliani, 2017. "Firm Demography and Regional Development: Evidence from Italy," Growth and Change, Wiley Blackwell, vol. 48(3), pages 359-389, September.
    4. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2015. "Effetti spaziali o settoriali? La crescita della dimensione media d?impresa in Italia," SCIENZE REGIONALI, FrancoAngeli Editore, vol. 2015(1), pages 41-65.
    5. Anna Ferragina & Fernanda Mazzotta, 2015. "Agglomeration economies in Italy: impact on heterogeneous firms’ exit in a multilevel framework," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 42(4), pages 395-440, December.
    6. Kim, Jungho & Kollmann, Trevor & Palangkaraya, Alfons & Webster, Elizabeth, 2022. "Does local technological specialisation, diversity and dynamic competition enhance firm creation?," Research Policy, Elsevier, vol. 51(7).
    7. Henry Renski, 2015. "Externalities or Experience? Localization Economies and Start-up Business Survival," Growth and Change, Wiley Blackwell, vol. 46(3), pages 458-480, September.
    8. Niklas Elert, 2014. "What determines entry? Evidence from Sweden," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(1), pages 55-92, August.
    9. Mauricio Oyarzo & Gianni Romani & Miguel Atienza & Marcelo Lufin, 2015. "Spatio-temporal persistence of municipal rates of business start-ups in Chile," Documentos de Trabajo en Economia y Ciencia Regional 61, Universidad Catolica del Norte, Chile, Department of Economics, revised Jul 2015.
    10. Giuseppe Espa & Danila Filipponi & Diego Giuliani & Davide Piacentino, 2012. "Business change in Italian regions. A spatial shift-share approach to plant-level data," Department of Economics Working Papers 1205, Department of Economics, University of Trento, Italia.
    11. Henry Renski, 2014. "The Influence of Industry Mix on Regional New Firm Formation in the United States," Regional Studies, Taylor & Francis Journals, vol. 48(8), pages 1353-1370, August.
    12. Filippo Randelli & Giorgio Ricchiuti, 2015. "The Survival of Tuscan Firms," Working Papers - Economics wp2015_02.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    13. Claudia V. Montanía & Miguel A. Márquez & Teresa Fernández‐Núñez & Geoffrey J.D. Hewings, 2021. "Spatial shift‐share analysis: Some new developments," Papers in Regional Science, Wiley Blackwell, vol. 100(2), pages 305-325, April.
    14. 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.
    15. Muhammad Faraz Riaz & João Leitão & Uwe Cantner, 2022. "Measuring the efficiency of an entrepreneurial ecosystem at municipality level: does institutional transparency play a moderating role?," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 12(1), pages 151-176, March.
    16. Canfei He & Rudai Yang, 2016. "Determinants of Firm Failure: Empirical Evidence from China," Growth and Change, Wiley Blackwell, vol. 47(1), pages 72-92, March.
    17. Zheng, Liang & Zhao, Zhong, 2017. "What drives spatial clusters of entrepreneurship in China? Evidence from economic census data," China Economic Review, Elsevier, vol. 46(C), pages 229-248.
    18. Mark J. O. Bagley, 2019. "Networks, geography and the survival of the firm," Journal of Evolutionary Economics, Springer, vol. 29(4), pages 1173-1209, September.
    19. Niclas Lavesson, 2018. "How does distance to urban centres influence necessity and opportunity‐based firm start‐ups?," Papers in Regional Science, Wiley Blackwell, vol. 97(4), pages 1279-1303, November.
    20. Backman, Mikaela & Karlsson, Charlie, 2013. "Who says life is over after 55? Entrepreneurship and an aging population," Working Paper Series in Economics and Institutions of Innovation 325, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.

    More about this item

    Keywords

    firm demography; crisis; spatial shift-share; Italian regions;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

    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:trn:utwpem:2013/07. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: roberto.gabriele@unitn.it (email available below). General contact details of provider: https://edirc.repec.org/data/detreit.html .

    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.