Public cash and modes of firm exit

• Published in: Journal of evolutionary economics Vol. 32; no. 1; pp. 247 - 298
• Main Authors: Cepec, Jaka, Grajzl, Peter, Mörec, Barbara
• Format: Journal Article
• Language: English
• Published: Berlin/Heidelberg Springer Berlin Heidelberg 2022; Springer Nature B.V
• Subjects: Bankruptcy; Datasets; Economic Growth; Economic Theory/Quantitative Economics/Mathematical Methods; Economics; Economics and Finance; Entrepreneurship; Institutional/Evolutionary Economics; Microeconomics; Prospects; Public sector; R & D/Technology Policy; Regular Article; Reorganization; Transactions; Voluntariness; P12; H32; G33; Firm dynamics; Public-sector cash; G34; K22; Firm exit; Non-bankruptcy exit; Bankruptcy; L25

We investigate the importance of public cash for modes of firm exit. Drawing on data from Slovenia, we assemble a firm-level panel that combines comprehensive records on public-sector cash transactions to businesses with exit and other information on more than 59,000 Slovenian firms. We then estimat...