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The relationship between start-ups, market mobility and employment growth: An empirical analysis for Dutch regions.
- Source :
-
Papers in Regional Science . Mar2014, Vol. 93 Issue 1, p203-217. 15p. - Publication Year :
- 2014
-
Abstract
- Recent literature suggests two mechanisms through which the start-up of new firms contributes to economic development: the growth of start-ups and competition among incumbent firms induced by the start-ups. While existing studies derive the competition effect indirectly, this paper deploys a direct measure, called market mobility, to approximate the induced competition effect. The empirical results are consistent with the idea that both effects are important in explaining the long-term economic impact of start-ups. First, the most successful start-ups grow to become high-growth firms, and second, the entry of new firms stimulates incumbent firms to perform better. [ABSTRACT FROM AUTHOR]
Details
- Language :
- English
- ISSN :
- 10568190
- Volume :
- 93
- Issue :
- 1
- Database :
- Academic Search Index
- Journal :
- Papers in Regional Science
- Publication Type :
- Academic Journal
- Accession number :
- 95052789
- Full Text :
- https://doi.org/10.1111/pirs.12000