Search

Working Paper No. 137. Do Regional Investment Grants Improve Firm Performance?

PublicationWorking paper
Firm performance, Företagandets villkor, Mattias Ankarhem, Niklas Rudholm, Panel data, Regionala investeringar, Shahiduzzaman Quoreshi, Sven-Olov Daunfeldt
Working Paper No. 137.
Download

Abstract

The effect of Swedish regional investment grants during 1990-1999 on firm performance, in terms of returns on equity and number of employees, were studied using a propensity-score matching-method to control for sample selection. Firms that received grants did not perform better in terms of returns on equity when compared to matched firms in the control group. In most years, recipient firms also did not hire more employees. The results thus cast doubt on the use of regional investment grants as a general policy instrument to improve firm performance.

Ankarhem, A., Daunfeldt, S-V., Quoreshi, S. & Rudholm, N. (2009). Do Regional Investment Grants Improve Firm Performance? Evidence from Sweden. Ratio Working Paper No. 137.

Based on content

Working Paper No. 137. Do Regional Investment Grants Improve Firm Performance?
Working paperPublication
Ankarhem, A., Daunfeldt, S-V., Quoreshi, S. & Rudholm, N.
Publication year

2009

Published in

Ratio Working Paper

Abstract

The effect of Swedish regional investment grants during 1990-1999 on firm performance, in terms of returns on equity and number of employees, were studied using a propensity-score matching-method to control for sample selection. Firms that received grants did not perform better in terms of returns on equity when compared to matched firms in the control group. In most years, recipient firms also did not hire more employees. The results thus cast doubt on the use of regional investment grants as a general policy instrument to improve firm performance.

Working Paper No. 137. Do Regional Investment Grants Improve Firm Performance?
Working paperPublication
Ankarhem, A., Daunfeldt, S-V., Quoreshi, S. & Rudholm, N.
Publication year

2009

Published in

Ratio Working Paper

Abstract

The effect of Swedish regional investment grants during 1990-1999 on firm performance, in terms of returns on equity and number of employees, were studied using a propensity-score matching-method to control for sample selection. Firms that received grants did not perform better in terms of returns on equity when compared to matched firms in the control group. In most years, recipient firms also did not hire more employees. The results thus cast doubt on the use of regional investment grants as a general policy instrument to improve firm performance.

Ratio Working Paper No. 349: Industrial conflict in essential services in a new era – Swedish rules in a comparative perspective
Working paperPublication
Karlson, N.
Publication year

2021

Published in

Ratio Working Paper

Abstract

This paper examines whether the Swedish regulatory system of dealing with industrial conflicts that affect essential services need an update or reform. Are the existing rules effective in a world where many essential services are upheld by many interdependent agents in complex systems where every single node becomes critical for the functioning of the system, and where the essential service activities could be either private or public? A comparative study is conducted with the corresponding regulatory systems of the United Kingdom, Germany, and Denmark.
The conclusion is that Sweden is a special case. The Swedish protection against and readiness in dealing with societally harmful industrial conflicts in essential services is weaker than in the countries of comparison. Just as in relation to other threats to essential services, it is not sustainable to claim that just because such a threat is not currently present, there would be no need for preparedness.
There are many alternative ways to handle this. Desirable methods should both prevent harmful conflicts from erupting and end conflicts that have grown harmful to society at a later stage. The labour market organisations should have a mutual interest in reforming the rules.

Show more