Related variety, ownership, and firm dynamics in transition economies: the case of Hungarian city regions 1996-2012

Izabella Szakálné Kanóa, Balázs Lengyel, Zoltán Elekes and Imre Lengyel
Authors registered in the RePEc Author Service: Balázs Lengyel

No 1612, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography

Abstract: We investigate the effect of related variety on the entry and exit patterns of domestic and foreign firms in Hungarian city regions from 1996-2012. In order to characterize the archetypes of interaction between domestic and foreign firms, we introduce three alternative models to calculate the related variety. The best fit is provided by the model, in which no interaction among foreign and domestic firms is presumed. Related variety in the foreign subset tends to accelerate firm entry and decelerate firm exit in a much earlier stage of economic transition than related variety across domestic firms.

Keywords: related variety; firm entry and exit; foreign-owned firms; panel logistic regression; dual economy (search for similar items in EconPapers)
JEL-codes: F23 F43 L16 (search for similar items in EconPapers)
Date: 2016-05, Revised 2016-05
New Economics Papers: this item is included in nep-bec, nep-com, nep-sbm and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:egu:wpaper:1612

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