We study firm responses to local policies through a survey experiment, providing randomized information on the competitiveness of business tax rates and highway access in their headquarters’ municipality. Firms often misperceive local policy competitiveness, especially for tax rates....

We study firm responses to local policies through a survey experiment, providing randomized information on the competitiveness of business tax rates and highway access in their headquarters’ municipality. Firms often misperceive local policy competitiveness, especially for tax rates....

Although domestic establishment relocations are part of both the factor reallocation across regions and establishment dynamics within an economy, evidence on firm mobility in Germany is rather scarce. In this study, we therefore examine establishment- and regional-level patterns of firm mobility...

Although domestic establishment relocations are part of both the factor reallocation across regions and establishment dynamics within an economy, evidence on firm mobility in Germany is rather scarce. In this study, we therefore examine establishment- and regional-level patterns of firm mobility...

Der Jahresmonitor 2023 zeigt, dass Familienunternehmen aufgrund steigender Regulierung und hoher Bürokratielasten die Attraktivität Deutschlands als Investitionsstandort weiterhin als abnehmend bewerten und zunehmend in Auslandsmärkte wie die USA und Polen investieren. Gleichzeitig verdoppelt...

We examine the impact of corporate geographic location on tax planning in U.S. firms from 1996–2018. We find that urban firms are associated with a significantly lower level of aggressive tax planning than rural firms. Further analysis shows that the soft information advantage to investors and...

The intervention of local governments in the labor market is the cornerstone of stable employment and economic development in China. This paper combines the office addresses of 4,491 listed companies from 2008 to 2020 and the geographic information before and after the relocation of the...

How does export liberalization affect firm location choice and the spatial concentration of economic activity? We address these questions using the geo-coordinates of Chinese manufacturing firms and find that export widens inter-city and intra-city spatial disparities by reinforcing initially...

We analyze the location of final goods producers under spatial competition with strategic input price determination by firm-specific input suppliers when the final goods producers undertake complete outsourcing or bi-sourcing. Under complete outsourcing, the final goods producers locate closer...

Der Jahresmonitor 2023 zeigt, dass Familienunternehmen aufgrund steigender Regulierung und hoher Bürokratielasten die Attraktivität Deutschlands als Investitionsstandort weiterhin als abnehmend bewerten und zunehmend in Auslandsmärkte wie die USA und Polen investieren. Gleichzeitig verdoppelt...

Polluting firms typically relocate to avoid stringent environmental regulations. Based on China's Two Control Zones (TCZ) policy, we examine the impact of environmental regulation on firms' location decisions. The results show that in the upwind TCZ near interprovincial areas, the distance of...

Digitalisierung und die sozial-ökologische Transformation der Wirtschaft machen die Sicherung von Standorten und Arbeitsplätzen zu einer zentralen Herausforderung von Gewerkschaften und Betriebsräten. Neben den Instrumenten der Betriebsverfassung werden zunehmend auch Tarifverträge genutzt,...

For a long time, it was assumed that hard location factors (e.g. workforce, land) were the primary influence on the location decisions of firms. In the course of the tertiarization of the economy and linked increases in the qualification of employees as well as changes in values and timemodels,...

Entrepreneurial ecosystems (EE) are composed not only of startups but also the organizations that support them. Theory has been ambivalent about whether an EE is spatially bounded or includes distant organizations. This exploratory study uses a time series of all internet industry initial public...

A common tactic to estimate willingness-to-travel exploits variation in the relative proximity of consumers to supplier locations. The validity of these estimates relies on the exogeneity of that consumer-supplier distance. We argue that distance to suppliers is endogenous because suppliers...

This paper examines whether and how firm headquarters location affects corporate social responsibility (CSR) performance. Utilizing a propensity-score matched sample, we find that comparing to their urban counterparts, non-urban firms are less likely to spend resources on CSR programmes while...

Multi-establishment firms account for around 60% of U.S. workers' primary employers, providing ample opportunity for workers to change their work location without changing their employer. Using U.S. matched employer-employee data, this paper analyzes workers' access to and use of such...

Our objective in this paper is to define jurisdictional advantage, the recognition that location is critical to firms' innovative success and that every location has unique assets that are not easily replicated. The purpose is to be normative and policy oriented. Drawing from the well-developed...

We investigate the value-growth premium puzzle by merging insights from urban economics and finance that relate firm location to its stock performance. The value-growth premium in locations with high historical house price appreciation is 3.6% larger per year than the premium in areas that...

This paper empirically investigates the decisions of publicly traded firms where to incorporate. We study the features of states that make them attractive to incorporating firms and the characteristics of firms that determine whether they incorporate in or out of their state of location. We find...

This paper examines the impact of state and local tax differentials on the location of industry using a panel data set of manufacturing firm startups. The number of firm births is modeled as a Poisson count process and the estimation technique explicitly accounts for unobserved location or state...

Why do cities differ so much in productivity? We document that most of the measured dispersion in productivity across US cities is spurious and reflects granularity bias: idiosyncratic heterogeneity in plant-level productivity and size, combined with finite plant counts. As a result, economies...

In this paper, I examine the relationship between increasing returns to scale and the geographic concentration of economic activity. Using data on U.S. counties, I estimate the structural parameters of the Krugman (1991) model of economic geography. The specification I use, which is derived from...

Why do cities differ so much in productivity? We document that most of the measured dispersion in productivity across US cities is spurious and reflects granularity bias: idiosyncratic heterogeneity in plant-level productivity and size, combined with finite plant counts. As a result, economies...

This paper examines the effects of agglomeration economies (AE) on the sensitivity of firm location to tax differentials. An initial reading of the story suggests that, with AE, when a firm moves into a community attracted by a tax reduction, other firms may decide to move in as well. This...