A multistate demographic model for firms in the province of Gelderland



provided by Research Papers in Economics

A multistate demographic model for firms in the province of Gelderland

Corina Huisman1 and Leo van Wissen1,2

1 Netherlands Interdisciplinary Demographic Institute NIDI, the Netherlands

2 Faculty of Spatial Sciences, University Groningen, the Netherlands

ABSTRACT

In the last two decades researchers from various disciplines have made attempts to
model and estimate developments in the size and structure of the population of firms.
Although these attempts give useful insights into possible explanatory factors of firm
dynamics, the explanatory value, and hence predictive power of these models is usually
not very high. In this paper we follow a pure demographic approach for the modelling
of firm survival. Important dimensions of the firm are firm age, firm size (in number of
employees), economic activity and firm location. Using empirical firm level data for the
region of Gelderland in the Netherlands over the period 1986-2002, developments in
survival are described and analysed over time in an age-period-cohort perspective. In a
later phase of the project, these (aggregated) scenarios will serve as a point of reference
for comparisons to more extended model specifications using micro-simulation that
include additional explanatory and spatial variables.

Keywords: demography of the firm, Age-Period-Cohort model, firm survival, closures



More intriguing information

1. The name is absent
2. Non-causality in Bivariate Binary Panel Data
3. Publication of Foreign Exchange Statistics by the Central Bank of Chile
4. Equity Markets and Economic Development: What Do We Know
5. Yield curve analysis
6. INSTITUTIONS AND PRICE TRANSMISSION IN THE VIETNAMESE HOG MARKET
7. The Dynamic Cost of the Draft
8. The Nobel Memorial Prize for Robert F. Engle
9. Restructuring of industrial economies in countries in transition: Experience of Ukraine
10. The name is absent