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Sectorial and regional determinants of firm dynamics in developing countries: evidence for low-, medium- and high-tech manufacturing in Argentina

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  • Calá, Carla Daniela
Abstract
This study analyses the determinants of firm dynamics in developing countries, using Argentina as an illustrative case. It explains firm entry and exit at the regional level, distinguishing three groups of manufacturing activities: low-, medium- and high-tech. The study finds that both region- and sector- specific determinants explain firm dynamics, but the impact is not homogeneous across sectors. In particular, for low-tech industries, there is a need for explanatory variables as a proxy for the specificities of developing economies (poverty, informal economy and idle capacity). There is also evidence of a core-periphery pattern according to which agglomeration economies and previous entries/exits have different effects in core and peripheral regions. These results are relevant for policymakers in developing countries, who should take into account not only the specificities of such economies, but also the regional heterogeneity both in terms of the level of development and industrial composition within the country.

Suggested Citation

  • Calá, Carla Daniela, 2018. "Sectorial and regional determinants of firm dynamics in developing countries: evidence for low-, medium- and high-tech manufacturing in Argentina," Nülan. Deposited Documents 2587, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    • Handle: RePEc:nmp:nuland:2587
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    Cited by:

    1. Iman Cheratian & Saleh Goltabar & Carla Daniela Calá, 2021. "Spatial drivers of firm entry in Iran," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(2), pages 463-496, April.
    2. Myunghoon Baek, 2020. "Manufacturing Effectiveness in Latin American Countries for South Korea: Holistic Approach in Energy Uses and Infrastructure," Economía, Instituto de Investigaciones Económicas y Sociales (IIES). Facultad de Ciencias Económicas y Sociales. Universidad de Los Andes. Mérida, Venezuela, vol. 45(49), pages 11-34, january-d.
    3. Malgorzata Wosiek, 2021. "Unemployment and new firm formation: evidence from Polish industries at the regional level," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 16(4), pages 765-782, December.

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    More about this item

    Keywords

    Dinámica Empresarial; Creación de Empresas; Cese de Actividad; Relación Centro-Periferia; Modelo de Panel; Argentina;
    All these keywords.

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models

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