Covid-19, Fiscal Policies, and Small-and-Medium-Sized Firm Survival: Evidence From the Cross-Country Matching Analysis

Ömer Doruk

Evaluation Review, 2022, vol. 46, issue 4, 416-437

Abstract: Objective The present study examines the effect of fiscal policies on firm survival for small-and-medium-sized enterprises in the cross-country level firm-level data. Research Design A propensity score matching analysis is utilised for the post-COVID-19 period firms by using the World Bank Enterprise Follow-up Surveys for the pandemic period. Small-and-medium-sized enterprises are essential to the economy; firm failures can increase in a pandemic. Results The obtained findings show that the effect of fiscal policies has an essential effect on small-and-medium-sized enterprises survival in the COVID-19 pandemic period by using a cross-country heterogenous firm-level sample. Conclusions In this context, the present study shed new light on the link between COVID-19-related fiscal policies and small-and-medium-sized firm survival in developing countries.

Keywords: Firm survival; COVID-19 related fiscal policies; firm-level data; developing economies; propensity score matching; small-and-medium-sized enterprises (search for similar items in EconPapers)
Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:sae:evarev:v:46:y:2022:i:4:p:416-437

DOI: 10.1177/0193841X221100361

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