Sök

Working Paper No. 332: Are New Shopping Centers Drivers of Development in Large Metropolitan Suburbs? The Interplay of Agglomeration and Competition Forces

PublikationWorking paper
agglomeration effects, attenuation of effects, competition, Firm performance, Martin Korpi, Oana Mihaescu, Özge Öner, retail location, Shopping centers
Working Paper No 332
Ladda ner

Sammanfattning

We investigate to which extent shopping centers drive local economic development by studying how distance to newly established shopping centers affects the performance of incumbent firms, located in the suburbs of the three Swedish major metropolitan areas Stockholm, Gothenburg, and Malmö, 2000-2016. We use a regression setup with around 27,000 firm-year observations and explore the possible heterogeneity imposed on the results from two main elements of spatial economics theory: the size of the new retail area and the distance from the new retail area to the analyzed incumbents. We observe a clear difference in the direction of the effects of large versus small shopping centers. While competition forces are much stronger in the case of the establishment of large shopping centers, yielding a negative 5% on incumbent firm revenue and negative 3% on firm employment, results indicate the opposite pattern for smaller shopping centers; with firm revenue and firm employment increasing 4% and 3%, respectively. Moreover, we also observe that both agglomeration and competition effects attenuate sharply with distance from the new entrant, confirming one of the central premises of retail location theory. Finally, we observe that the geographical scope of the effects is much wider in the case of larger shopping centers, with estimates becoming statistically insignificant at about 9-10 km from the new entry, as compared to 3-4 km in the case of smaller retail centers.

Mihaescu, O., Korpi, M. & Öner, Ö. (2020). Are New Shopping Centers Drivers of Development in Large Metropolitan Suburbs? The Interplay of Agglomeration and Competition Forces. Ratio Working Paper Nr 332. Stockholm: Ratio.


Liknande innehåll

Ratio Working Paper No. 353: From free competition to fair competition on the European internal market
Working paperPublikation
Karlson, N., Herold, T. & Dalbard, K.
Publiceringsår

2022

Publicerat i

Ratio Working Paper

Sammanfattning

This paper investigates whether an increased use and reinterpretation of what has been called “fair competition” has occurred at the expense of “free competition” among the central institutions of the European Union. We are also interested in assessing how frequently these terms have been used by the various EU institutions over time.

We have empirically examined this through a quantitative survey of more than 12,000 public documents, out of totally 242 000 documents containing 630 million words, in the EUR-lex database over the last 50 years, from 1970 to 2020. Our conclusion is that the emphasis of the common policies in the EU is likely to have shifted from free competition and an open market economy to “fair competition” in the sense of a level playing field, in official EU documents, such as treaties, EU acts institutions, preparatory documents relating to EU directives and recommendations including motions and resolutions, case law and more.

The European Commission has been a driving force in this development, followed closely by the European Parliament and subsequently by the Council of Ministers. This change entails a risk that the regulation of the European internal market has shifted so that the dynamics of the internal market and thus the EU’s competitiveness will weaken. The change also entails a centralization of decisions at EU level at the expense of the Member States.

Ratio Working Paper No. 342: Business Angels and Firm Performance: First Evidence from Population Data
Working paperPublikation
Andersson, F. & Lodefalk, M.
Publiceringsår

2020

Publicerat i

Ratio Working Paper

Sammanfattning

Business angels dominate early stage investment in firms but research on the effects of their investment is scarce and limited by sample selection. We therefore propose an algorithm for identifying business angel investment in total population data. We apply the algorithm to study the effects of business angels on firm performance, using detailed and longitudinal total population data for individuals and firms in Sweden. Employing these data and a quasi-experimental estimator, we find that business angels engage in firms that already perform above par but that there also is a positive effect on subsequent growth, comparing with control firms. Firms with business angel investment perform better in terms of sales and employment growth and likelihood of becoming a high-growth firm. Contrary to previous research, we cannot find any impact on firm survival, however. Overall, our results underline the need to address sample selection issues both in identifying business angels and in evaluating their effects on firm performance.

Ratio Working Paper No. 325: The American Dream Lives in Sweden: Trends in intergenerational absolute income mobility
Working paperPublikation
Liss, E., Korpi, M. & Wennberg, K.
Publiceringsår

2019

Publicerat i

Ratio Working Paper

Sammanfattning

Despite a sizeable literature on relative income mobility across generations, there is a dearth of studies of absolute mobility across generations, i.e. whether current generations earn more or less than their parents did at the same age, as well as how to explain the level of absolute mobility. We use individual micro data to study the trend in intergenerational absolute income mobility measured as the share of sons and daughters earning more than their fathers and mothers, respectively, for eleven Swedish birth cohorts between 1970 and 1980. We find that absolute mobility in Sweden significantly exceeds that of the United States and is largely on par with Canada. The rate of absolute mobility for women exceeds that of men throughout the study period, however the trend has been stronger for men. Using an augmented decomposition model which supplements standard models by accounting for differences in the income distribution of every birth cohort’s parent generation, we find that heterogeneity in the parent income distribution strongly determines how much economic growth contributes to absolute mobility across birth cohorts. If income inequality is high in the parent generation, more growth is required if children that move downward in the relative income distribution are to earn more than their parents.

Visa fler

Ratio är ett fristående forskningsinstitut som forskar om hur företagandets villkor kan utvecklas och förbättras.

Sveavägen 59 4trp

Box 3203

103 64 Stockholm

Bankgiro: 512-6578