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the effect of longitudinal multiple subsidies on firm performance in the presence of neighbour interactions

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  • Roberto Gabriele
  • Enrico Tundis

Abstract

A Structural Marginal Model and Inverse Probability of Treatment Weighting (IPTW) estimation strategy is proposed in a dynamic 2-dimensional treatment setting in order to identify and estimate both the direct and the indirect average treatment effects of a policy over time. This approach is used to assess the effect of public capital subsidisation on the competitiveness of firms in the hotel sector in a place-based subsidisation public policy. A positive effect of the policy is estimated on several hotel performance indicators. Moreover, we found that a hotel?s performance depend on whether many or few hotels in its own destination are subsidised.

Suggested Citation

  • Roberto Gabriele & Enrico Tundis, 2015. "the effect of longitudinal multiple subsidies on firm performance in the presence of neighbour interactions," ERSA conference papers ersa15p1368, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa15p1368
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    References listed on IDEAS

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