The Role of Regulation on Entry : Evidence from the Italian Provinces

This paper studies the effects of differences in local administrative burdens in Italy in the years 2005–2007 preceding a major reform that sped up firm registration procedures. Combining regulatory data from a survey on Italian provinces before the reform (costs and time to start a business) with i...

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Bibliographic Details
Main Author:	Bripi, Francesco
Format:	Journal Article
Published:	Published by Oxford University Press on behalf of the World Bank 2018
Subjects:	ADMINISTRATIVE PROCEDURES REGULATION BUSINESS ENVIRONMENT FIRM ENTRY
Online Access:	http://hdl.handle.net/10986/29125

id	okr-10986-29125
recordtype	oai_dc
spelling	okr-10986-291252021-05-25T10:54:42Z The Role of Regulation on Entry : Evidence from the Italian Provinces Bripi, Francesco ADMINISTRATIVE PROCEDURES REGULATION BUSINESS ENVIRONMENT FIRM ENTRY This paper studies the effects of differences in local administrative burdens in Italy in the years 2005–2007 preceding a major reform that sped up firm registration procedures. Combining regulatory data from a survey on Italian provinces before the reform (costs and time to start a business) with industry-level entry rates of limited liability firms, I explore the effects of regulatory barriers on the average of the annual entry rates across industries with different natural propensities to enter the market. The estimates of the cross-sectional analysis show that lengthier and, to some extent, more costly procedures reduced entry in sectors with naturally high entry. A one-day delay in registration procedures reduces the entry rate in highly dynamic sectors by more than 1 percent. These results hold when I include measures of local financial development and of efficiency of bankruptcy procedures. 2018-01-03T20:57:45Z 2018-01-03T20:57:45Z 2016-06-01 Journal Article World Bank Economic Review 1564-698X http://hdl.handle.net/10986/29125 CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Published by Oxford University Press on behalf of the World Bank Publications & Research :: Journal Article Publications & Research Italy
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
topic	ADMINISTRATIVE PROCEDURES REGULATION BUSINESS ENVIRONMENT FIRM ENTRY
spellingShingle	ADMINISTRATIVE PROCEDURES REGULATION BUSINESS ENVIRONMENT FIRM ENTRY Bripi, Francesco The Role of Regulation on Entry : Evidence from the Italian Provinces
geographic_facet	Italy
description	This paper studies the effects of differences in local administrative burdens in Italy in the years 2005–2007 preceding a major reform that sped up firm registration procedures. Combining regulatory data from a survey on Italian provinces before the reform (costs and time to start a business) with industry-level entry rates of limited liability firms, I explore the effects of regulatory barriers on the average of the annual entry rates across industries with different natural propensities to enter the market. The estimates of the cross-sectional analysis show that lengthier and, to some extent, more costly procedures reduced entry in sectors with naturally high entry. A one-day delay in registration procedures reduces the entry rate in highly dynamic sectors by more than 1 percent. These results hold when I include measures of local financial development and of efficiency of bankruptcy procedures.
format	Journal Article
author	Bripi, Francesco
author_facet	Bripi, Francesco
author_sort	Bripi, Francesco
title	The Role of Regulation on Entry : Evidence from the Italian Provinces
title_short	The Role of Regulation on Entry : Evidence from the Italian Provinces
title_full	The Role of Regulation on Entry : Evidence from the Italian Provinces
title_fullStr	The Role of Regulation on Entry : Evidence from the Italian Provinces
title_full_unstemmed	The Role of Regulation on Entry : Evidence from the Italian Provinces
title_sort	role of regulation on entry : evidence from the italian provinces
publisher	Published by Oxford University Press on behalf of the World Bank
publishDate	2018
url	http://hdl.handle.net/10986/29125
_version_	1764468557439041536

The Role of Regulation on Entry : Evidence from the Italian Provinces

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