Assessing the effects of government support for small and medium businesses: Application of the synthetic control group method

Mariia Molodchik (), Anna Bykova (), Egor Ivanov () and Daria Markanova ()
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Mariia Molodchik: HSE University, Perm, Russian Federation
Anna Bykova: The Agency for the Development of Small and Medium-Sized Enterprises of the Perm Krai; HSE University, Perm, Russian Federation
Egor Ivanov: HSE University, Perm, Russian Federation
Daria Markanova: OOO CFK “Zolotye dvery”, Perm, Russian Federation

Applied Econometrics, 2025, vol. 78, 28-49

Abstract: This article analyses the current landscape of government support for small and medium-sized enterprises (SMEs) and evaluates its effectiveness in terms of the “Priority Investment Project” program designed to stimulate investments in innovative and infrastructure initiatives. The contradictory results of previous empirical studies and the high demand for applied tools by public authorities have determined the need to adapt the synthetic control method to evaluate the effects that arise for small and medium-sized enterprises when obtaining the status of a “Priority Investment Project”. Using the example of seven enterprises the opportunities of a synthetic control group are demonstrated.

Keywords: state support; SMEs; synthetic control method (search for similar items in EconPapers)
JEL-codes: L38 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:ris:apltrx:0520

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