Sector Switching: An Unexplored Dimension of Firm Dynamics in Developing Countries

by sector_________________

(1)
INC-
ENTRY
t-test

(2)

INC-EXIT
t-test

(3)

ENTRY-
EXIT

t-test

(4)

INC-SW1
t-test

(5)

INC-SW2
t-test

(6)
SW1-
ENTRY
t-test

(7)
SW2-
EXIT
t-test

ISIC 15

0.0137***

0.0001**

0.0000

0.0183

0.0002

0.0000

0.0000

(3.18)

(2.41)

(0.12)

(0.98)

(1.14)

(0.78)

(0.60)

ISIC 17

0.1687***

0.0014*

-0.0003*

0.1313

0.0002

0.0004**

0.0012**

(3.30)

(1.84)

(1.75)

(1.05)

(0.17)

(2.53)

(2.02)

ISIC 18

0.0907*** 0.0009***

0.0001

0.0982**

0.0004

-0.0001

0.0006***

(6.94)

(4.75)

(0.94)

(2.21)

(0.98)

(0.34)

(2.97)

ISIC 19

0.2474***

0.0021**

-0.0002

0.3207**

0.0028*

-0.0005

-0.0007

(3.41)

(2.42)

(0.30)

(2.25)

(1.73)

(0.63)

(0.87)

ISIC 20

0.1009***

0.0008**

-0.0002**

0.0802

0.0007

0.0002***

0.0001

(3.86)

(2.24)

(2.42)

(1.36)

(1.60)

(2.82)

(0.82)

ISIC 21

0.0760

0.0011*

0.0005

0.1498

0.0014

-0.0007

-0.0003

(1.42)

(1.69)

(0.86)

(1.54)

(1.27)

(0.84)

(1.12)

ISIC 22

0.1171***

0.0010**

-0.0001

0.1310

0.0000

-0.0001

0.0011

(3.07)

(2.02)

(0.19)

(0.99)

(0.05)

(0.14)

(1.47)

ISIC 24

0.1329***

0.0008*

-0.0005*

0.1425**

0.0013*

0.0000

-0.0005

(4.31)

(1.89)

(1.90)

(2.16)

(1.95)

(0.19)

(0.99)

ISIC 25

0.1083***

0.0010**

-0.0001

0.0181

0.0010

0.0009***

0.0000

(3.68)

(2.22)

(0.58)

(0.25)

(1.36)

(3.03)

(0.08)

ISIC 26

0.0251

0.0004*

0.0002

0.0640

0.0004

-0.0004

0.0000

(1.56)

(1.65)

(0.65)

(1.18)

(0.80)

(0.78)

(0.07)

ISIC 27

0.2762

0.0038

0.0011

0.3941

0.0015

-0.0008

0.0023**

(1.45)

(1.29)

(1.12)

(1.24)

(0.34)

(0.77)

(2.16)

ISIC 28

0.0720***

0.0003

-0.0004**

0.0197

0.0007**

0.0005**

-0.0003

(4.75)

(1.41)

(2.09)

(0.58)

(1.99)

(2.31)

(1.18)

ISIC 29

0.1938***

0.0013

-0.0008*

0.1337

0.0011

0.0007

0.0002

(2.82)

(1.32)

(1.75)

(1.02)

(0.95)

(1.09)

(0.20)

ISIC 31

0.2776***

0.0015

-0.0013

0.0373

0.0024

0.0024**

-0.0009

(3.17)

(1.08)

(1.41)

(0.20)

(1.28)

(2.32)

(0.53)

ISIC 32

0.9370***

0.0079

-0.0013

1.0713**

0.0084

-0.0001

-0.0005

(2.56)

(1.59)

(0.55)

(2.19)

(1.54)

(0.06)

(0.16)

ISIC 33

1.1092

0.0106

-0.0004

1.1227

0.0109

0.0005**

-0.0003

(1.26)

(1.32)

(0.64)

(1.12)

(0.96)

(2.38)

(0.47)

ISIC 34

0.3180

0.0017

-0.0012

-0.0515

0.0031

0.0037*

-0.0014

(1.61)

(0.65)

(0.56)

(0.16)

(1.22)

(1.76)

(0.61)

ISIC 35

0.1906**

0.0018

-0.0001

0.0433

0.0015

0.0015***

0.0003

(2.27)

(1.61)

(0.34)

(0.37)

(1.07)

(2.62)

(0.93)

ISIC 36

0.1107*** 0.0010***

-0.0001

0.0731*

0.0007*

0.0004***

0.0003

(5.42)

(3.00)

(0.92)

(1.85)

(1.79)

(3.37)

(1.34)

Sector difference negative
(percent of total sectors)

0.0

0.0

78.9

5.3

5.3

42.1

52.6

Percent positive
and significant

73.7

57.9

0.0

26.3

21.1

47.4

15.8