Umeå Economic Studies,
Umeå University, Department of Economics

Abstract: Plants' entry and exit behaviour in Swedish municipalities are studied within a fixed-effect, integer-valued autoregressive model. Based on eight industrial sectors, 1985--1993, and all municipalities, models are estimated by a generalized method of moment estimator. Influences on entry and exit are systematic and spatially variable. Responses to explanatory variables differ between sectors. Average income, local unemployment and higher education are found to be important determinants of both entry and exit.

Keywords: Industrial sector; Integer-Valued Autoregression; Panel Data; GMM Estimation

JEL-codes: C32; C33; C35; L11; R12

29 pages, March 25, 1999

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Published as

Elisabet Berglund and Kurt Brännäs, (2001), 'Plants' Entry and Exit in Swedish Municipalities', The Annals of Regional Science, vol 35, no 3, pages 431-448

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