Financial markets and firm size: The role of employment protection laws and barriers to entrepreneurship

References

• Angelini, P., and A. Generale. 2008. “On the Evolution of Firm Size Distributions.” American Economic Review 98 (1): 426–438. doi:10.1257/aer.98.1.426.
   Web of Science ®Google Scholar
• Arellano, M., and S. Bond. 1991. “Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations.” The Review of Economic Studies 58 (2): 277–297. doi:10.2307/2297968.
   Web of Science ®Google Scholar
• Auer, P., R. Auer, and S. Wehrmüller. 2008. “Assessing the Impact of the Financial Crisis on the US Labour Market.” VOX CEPR’s Policy Portal. http://voxeu.org/article/assessing-impact-financial-crisis-us-labour-market
   Google Scholar
• Bassanini, A., L. Nunziata, and D. Venn. 2009. “Job Protection Legislation and Productivity Growth in OECD Countries.” Journal of Economic Policy 24 (58): 349-402.
   Google Scholar
• Bertola, G. 2004. “A Pure Theory of Job Security and Labour Income Risk.” The Review of Economic Studies 71 (1): 43–61. doi:10.1111/roes.2004.71.issue-1.
   Web of Science ®Google Scholar
• Blanchard, O., and J. Tirole. 2003. “Contours of Employment Protection Reform.” MIT Department of Economics Working Paper No. 03-35.
   Google Scholar
• Blanchflower, D., and A. Oswald. 1998. “What Makes an Entrepreneur?” Journal of Labor Economics 16 (1): 26–60. doi:10.1086/209881.
   Web of Science ®Google Scholar
• Blundell, R., and S. Bond. 1998. “Initial Conditions and Moment Restrictions in Dynamic Panel Data Models.” Journal of Econometrics 87 (1): 115–143. doi:10.1016/S0304-4076(98)00009-8.
   Web of Science ®Google Scholar
• Boeri, T., and P. Garibaldi. 2007. “Two Tiers Reforms of Employment Protection: A Honeymoon Effect.” The Economic Journal 117: 357–385. doi:10.1111/j.1468-0297.2007.02060.x.
   Web of Science ®Google Scholar
• Boeri, T., G. Nicoletti, and S. Scarpetta. 2000. “Regulation and Labor Market Performance.” In Regulatory Reform, Market Functioning and Competitiveness, edited by Galli, G. and J. Pelkmans. Cheltenham, UK: Edward Elgar.
   Google Scholar
• Bond, S. 2002. “Dynamic Panel Data Models: A Guide to Microdata Methods and Practice.” Portuguese Economic Journal 1: 141–162. doi:10.1007/s10258-002-0009-9.
   Google Scholar
• Botero, J. C., S. Djankov, R. La Porta, F. Lopez-de-Silanes, and A. Shleifer. 2004. “The Regulation of Labor.” The Quarterly Journal of Economics 119 (4): 1339–1382. doi:10.1162/0033553042476215.
   Web of Science ®Google Scholar
• Cabral, L. M. B., and J. Mata. 2003. “The Evolution of the Firm Size Distribution: Facts and Theory.” American Economic Review 93 (4): 1075–1090. doi:10.1257/000282803769206205.
   Web of Science ®Google Scholar
• Caggese, A., and V. Cuñat. 2008. “Financing Constraints and Fixed-term Employment Contracts.” The Economic Journal 118 (533): 2013–2046. doi:10.1111/ecoj.2008.118.issue-533.
   Web of Science ®Google Scholar
• Charlot, O., F. Malherbet, and C. Terra. 2011. “Product Market Regulation, Firm Size, Unemployment and Informality in Developing Economies.” IZA DP No. 5519.
   Google Scholar
• Cingano, F., M. Leonardi, J. Messina, and G. Pica. 2010. “The Effects of Employment Protection Legislation and Financial Market Imperfections on Investment: Evidence from a Firm-Level Panel of EU Countries.” Economic Policy 25 (61): 117–163. doi:10.1111/ecop.2009.25.issue-61.
   Google Scholar
• Cingano, F., M. Leonardi, J. Messina, and G. Pica. 2014. “Employment Protection Legislation, Capital Investment and Access to Credit: Evidence from Italy.” The Economic Journal In press. doi:10.1111/ecoj.12212.
   Web of Science ®Google Scholar
• Claessens, S., and L. Laeven. 2003. “Financial Development, Property Rights, and Growth.” The Journal of Finance 58 (6): 2401–2436. doi:10.1046/j.1540-6261.2003.00610.x.
   Web of Science ®Google Scholar
• Davidsson, P., and M. Henrekson. 2002. “Determinants of the Prevalence of Start-ups and High-Growth Firms.” Small Business Economics 19: 81–104. doi:10.1023/A:1016264116508.
   Web of Science ®Google Scholar
• Davis, S. J., and M. Henrekson. 1999. “Explaining National Differences in the Size and Industry Distribution of Employment.” Small Business Economics 12: 59–83. doi:10.1023/A:1008078130748.
   Web of Science ®Google Scholar
• Didier, T., R. Levine, and S. L. Schmukler. 2015. “Capital Market Financing, Firm Growth, and Firm Size Distribution.” HKIMR Working Paper No.17/2015.
   Google Scholar
• Djankov, S., R. La Porta, F. Lopez-de-Silanes, and A. Shleifer. 2002. “The Regulation of Entry.” The Quarterly Journal of Economics 117 (1): 1–37. doi:10.1162/003355302753399436.
   Web of Science ®Google Scholar
• Engerman, S. L., and K. L. Sokoloff. 2008. “Institutional and non-Institutional Explanations of Economic Differences.” In Handbook of New Institutional Economics, Part VII, edited by Ménard, C. and M. M. Shirley, 639–665. Dordrecht: Springer.
   Google Scholar
• EUROPEAN COMMISSION. 2002. Observatory of European SMEs, 2002/No 8 Highlights from the 2002 Survey. Luxemburg: European Comission.
   Google Scholar
• Fonseca, R., P. Lopez-Garcia, and C. A. Pissarides. 2001. “Entrepreneurship, Start-up Costs and Employment.” European Economic Review 45 (4–6): 692–705. doi:10.1016/S0014-2921(01)00131-3.
   Web of Science ®Google Scholar
• Fonseca, R., and N. Utrero. 2005. “Financial Development, Labor and Market Regulations and Growth.” Working Papers, 2005/03, Department of Business Economics, Universitat Autonoma de Barcelona.
   Google Scholar
• Freeman, R. 2010. “Labor Regulations, Unions, and Social Protection in Developing Countries: Market Distortion or Efficient Institutions.” In Handbook of Development Economics: Volume 5, edited by Rodrik, D. and M. Rosenzweig, 4657–4702. Amsterdam: North-Holland.
   Google Scholar
• Gibrat, R. 1931. Les Inégalités Économiques, 1931. Paris: Recueil Sirey.
   Google Scholar
• Glazer, A., and V. Kanniainen. 2002. “The Effects of Employment Protection on the Choice of Risky Projects.” CESifo Working Paper No. 689.
   Google Scholar
• Gollin, D. 2008. “Nobody’s Business but My Own: Self-Employment and Small Enterprise in Economic Development.” Journal of Monetary Economics 55 (2): 219–233. doi:10.1016/j.jmoneco.2007.11.003.
   Web of Science ®Google Scholar
• Guiso, L., and A. Rustichini. 2011. “Understanding the Size and Profitability of Firms: The Role of a Biological Factor.” CEPR Discussion Papers 8205, C.E.P.R. Discussion Papers.
   Google Scholar
• Haltiwanger, J., S. Scarpetta, and H. Schweiger. 2014. “Cross Country Differences in Job Reallocation: The Role of Industry, Firm Size and Regulations.” Labour Economics 26: 11–25. doi:10.1016/j.labeco.2013.10.001.
   Web of Science ®Google Scholar
• Henrekson, M., and D. Johansson. 1999. “Institutional Effects on the Evolution of the Size Distribution of Firms.” Small Business Economics 12: 11–23. doi:10.1023/A:1008002330051.
   Web of Science ®Google Scholar
• Jin, Y., and P. Lenain. 2015. “Labour Market Reform for More and Better Quality Jobs in Italy.” OECD Economics Department Working Papers, No. 1266. OECD Publishing.
   Google Scholar
• Klapper, L., L. Laeven, and R. Rajan. 2004. “Business Environment and Firm Entry: Evidence from International Data.” CEPR Discussion Paper no. 4366.
   Google Scholar
• Kumar, K. B., R. G. Rajan, and L. Zingales. 2001. “What Determines Firm Size?” NBER Working Paper no. 7208.
   Google Scholar
• Logotech, S. A. 1997. “Étude comparative internationale des dispositions légales et administratives pour la formation de petites et moyennes entreprises aux pays de l’Union Européenne, les États-Unis et le Japon, Projet EIMS 96/142, April.” Brussels: Logotech.
   Google Scholar
• Lucas, R. 1978. “On the Size Distribution of Business Firms.” The Bell Journal of Economics 9 (2): 508–523. doi:10.2307/3003596.
   Google Scholar
• Nickell, S., and R. Layard. 1999. “Labor Market Institutions and Economic Performance.” In Handbook of Labor Economics, Volume 3, Part 3, edited by Ashenfelter, O. C. and D. Card, 3029–3084. Amsterdam: Elsevier.
   Google Scholar
• Nickell, S. J., L. Nunziata, W. Ochel, and G. Quintini. 2003. “The Beveridge Curve, Unemployment and Wages in the OECD.” In Knowledge, Information and Expectations in Modern Macroeconomics: In Honor of Edmund S. Phelps, edited by Aghion, P., R. Frydman, J. Stiglitz, and M. Woodford. Princeton, NJ: Princeton University Press.
   Google Scholar
• Nicoletti, G., S. Scarpetta, and O. Boylaud. 2000. “Summary Indicators of Product Market Regulation with an Extension to Employment Protection Legislation.” Working Papers, 226. OECD Economics Department.
   Google Scholar
• OECD. 1999. The OECD Stan Data Base for Industrial Analysis 1978-1997. Paris: OECD.
   Google Scholar
• OCDE. 2004. Employment Outlook. Paris: OECD Publishing.
   Google Scholar
• Pagano, P., and F. Schivardi. 2003. “Firm Size, Distribution and Growth.” The Scandinavian Journal of Economics¸ 105 (2): 255–274. doi:10.1111/sjoe.2003.105.issue-2.
   Web of Science ®Google Scholar
• Pages-Serra, C., and A. Micco. 2008. “The Economic Effects of Employment Protection: Evidence from International Industry-Level Data.” RES Working Papers 4496, Inter-American Development Bank, Research Department.
   Google Scholar
• Pissarides, C. A. 2001. “Employment Protection.” Labour Economics 8 (2): 131–159. doi:10.1016/S0927-5371(01)00032-X.
   Web of Science ®Google Scholar
• Poschke, M. 2014. “The Firm Size Distribution across Countries and Skill-Biased Change in Entrepreneurial Technology.” IZA Discussion Paper 7991.
   Google Scholar
• Rajan, R. G., and L. Zingales. 1998. “Financial Dependence and Growth.” The American Economic Review 88 (9): 559–586.
   Google Scholar
• Saint-Paul, G. 2002. “Employment Protection, International Specialization, and Innovation.” European Economic Review 46 (2): 375–395. doi:10.1016/S0014-2921(01)00093-9.
   Web of Science ®Google Scholar
• Samaniego, R. M. 2006a. “Industrial Subsidies and Technology Adoption in General Equilibrium.” Journal of Economic Dynamics and Control 30 (9–10): 1589–1614. doi:10.1016/j.jedc.2005.09.016.
   Web of Science ®Google Scholar
• Samaniego, R. M. 2006b. “Employment Protection and High-Tech Aversion.” Review of Economic Dynamics 9 (2): 224–241. doi:10.1016/j.red.2005.10.002.
   Web of Science ®Google Scholar
• Wasmer, E., and P. Weil. 2004. “The Macroeconomics of Labor and Credit Market Imperfections.” American Economic Review 94 (4): 944–963. doi:10.1257/0002828042002525.
   Web of Science ®Google Scholar
• Williamson, O. 1967. “Hierarchical Control and Optimum Firm Size.” Size.’Journal of Political Economy 75 (2): 123–138. doi:10.1086/259258.
   Web of Science ®Google Scholar
• Windmeijer, F. 2000. “Moment Conditions for Fixed Effects Count Data Models with Endogenous Regressors.” Economics Letters 68 (1): 21–24. doi:10.1016/S0165-1765(00)00228-7.
   Web of Science ®Google Scholar