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Regional business survival in Portugal

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Abstract(s)

This paper addresses the post-entry performance of firms for seven regions in Portugal, at the NUT II level, by investigating the structural characteristics of survival, using non-parametric and semi-parametric methods, during the period 1985 to 2007. In order to approach the prevalence of some stylized facts and determinants of new firm survival, a new entrepreneurship database was produced following the application of the Eurostat/OECD methodology to Quadros de Pessoal. In the non parametric estimation, Kaplan-Meier survival functions and Nelson-Aalen hazard rates are used, while the semi-parametric estimation relates survival with seven explanatory variables and sector and year dummies. The main contribution of this work is the application of an internationally comparable methodology to a linked employer-employee dataset, which provides a regional overview of firm and survival dynamics over an extended period of time, while guaranteeing regional, national and international comparability.

Description

JEL Classification Codes: C14, C41, L25, L26, R11

Keywords

Survival analysis Firm dynamics Entrepreneurship Regional analysis

Citation

Nunes, Alcina; Sarmento, Elsa de Morais (2011). Regional business survival in Portugal. In CEF.UP and NIPE Workshop LEED 2011: "Economic analysis using linked employer and employee data: bringing together theory and empirics". Porto. p.1-30

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Faculdade de Economia da Unversidade do Porto

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