Économie et Statistique n° 380 Priority education zones: which resources produce which results? - Do patents encourage industrial firms to innovate? - What effects do group firms and independent firms have on job reallocations?

Economie et Statistique
Paru le : 01/09/2005
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What effects do group firms and independent firms have on job reallocations?

Richard Duhautois et Philippe Lagarde

Gross job creation and destruction flows provide information on the number of jobs created and axed by firms every year. These flows vary depending, among other things, on the size of the firms, their business sector and whether or not they are part of a group. The data available on groups clearly show the job reallocation characteristics specific to each of the two types of firm: independent firms and group firms. Gross creation and destruction rates are lower in group firms, since these companies are generally larger. We neutralise the size effect to show the asymmetry in a cycle between independent firms and group firms: for example, gross job destructions were higher in group firms during the 1993 recession. Given equal sizes, productive capital and growth rates, the group firms post greater job fluctuations.

Economie et Statistique
No 380
Paru le : 01/09/2005