Scandinavian Working Papers in Economics

Ratio Working Papers,
The Ratio Institute

No 171: New Start-ups and Firm In-migration –Evidence from the Swedish Wholesale Trade Industry

Sven-Olov Daunfeldt (), Niklas Elert () and Niklas Rudholm ()
Additional contact information
Sven-Olov Daunfeldt: HUI Research and Dalarna University, Postal: HUI Research, SE-103 29 Stockholm, Sweden
Niklas Elert: The Ratio Institute, Postal: The Ratio Institute, P.O. Box 3203, SE-103 64 Stockholm, Sweden
Niklas Rudholm: HUI Research and Dalarna University, Postal: HUI Research, SE-103 29 Stockholm, Sweden

Abstract: The purpose of this paper is to distinguish between the determinants of new start-ups and in migration of firms using a data-set that covers 13,471 limited liability firms in the Swedish wholesale trade industries during the period 2000- 2004. Our results indicate that the presence of a university more than doubles the expected number of entrants and increases the expected number of in-migrating firms with 30%. A large share of educated workers and a high local unemployment rate is also associated with more start-ups and firm in-migration.

Keywords: Firm growth; firm size; job creation; small firms

JEL-codes: L11; L25; L26

34 pages, July 21, 2011

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sod_ne_nr_wholesale_171.pdf PDF-file 

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