The survival half-life of firms and its effect on economic development

James Derbyshire

Local Economy, 2013, vol. 28, issue 1, 114-122

Abstract: Shane (2009) has suggested that encouraging more people to become entrepreneurs is bad public policy because it is existing firms that bring jobs and productivity growth and not new firms. To test this view this article shifts the perspective onto existing firms and away from start-up by examining firm survivability in the regions and countries of the UK and its relationship with employment and productivity growth. The article provides some evidence to support Shane’s (2009) view that it is existing firms that are important for economic development.

Keywords: employment growth; entrepreneurship; firm survival; productivity; regional development (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:sae:loceco:v:28:y:2013:i:1:p:114-122

DOI: 10.1177/0269094212466024

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