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The Geography of Firm Dynamics: Measuring Business Demography for Regional Development

image of The Geography of Firm Dynamics: Measuring Business Demography for Regional Development

The Geography of Firm Dynamics provides methods and data to measure and analyse business demography across OECD regions. It first discusses the methodological challenges of measuring consistently the creation and destruction of businesses at the subnational scale and from an international perspective. Second, it presents a novel database that not only makes such comparison possible but also provides the basis for an analysis of the major trends in business dynamics across regions. The report identifies regional factors that are associated with entrepreneurship and also examines the impact of business creation on regional employment. The Geography of Firm Dynamics provides a tool for national and local policy makers to design strategies for healthier business environments that are tailored to the specific characteristics of each region, thereby boosting prosperity.

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Regional dynamics from an enterprise approach

This chapter describes the composition of a new database designed to compare business demography statistics at the subnational level. The database offers unprecedentedly rich subnational information across countries, covering 27 OECD countries in total, out of which 21 include data at the TL3 regional level. The chapter analyses the geographical distribution of business activity (entry, exit and survival rates) and presents evidence on how entrepreneurial activity differs across types of regions. The chapter also analyses how the geographic and institutional characteristics of regions are associated to firm creation and survival over time.

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