Statistics by subject – Business performance and ownership

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All (209)

All (209) (25 of 209 results)

  • Articles and reports: 11F0019M2018401
    Description:

    There is only a small body of international literature and little Canadian evidence related to exit and survival patterns of immigrant-owned businesses. This paper addresses this gap by answering two questions. First, do exit and survival patterns (durations) of firm ownership differ between immigrants and individuals born in Canada? Second, what characteristics are associated with lower (or higher) exit rates from business ownership and longer ownership spells among immigrants? The analysis is limited to ownership of private incorporated firms.

    Release date: 2018-01-19

  • Articles and reports: 18-001-X2017001
    Description:

    This working paper profiles Canadian firms involved in the development and production of Bioproducts. It provides data on the number and types of Bioproducts firms in 2015, covering bioproducts revenues, research and development, use of biomass, patents, products, business practices and the impact of government regulations on the sector.

    Release date: 2017-12-22

  • Articles and reports: 11F0019M2016387
    Description:

    The paper investigates recent changes in the importance of foreign ownership in Canadian manufacturing in the 2000s, and also compares these changes to those in the previous decades from 1973 to 1999. The importance of foreign firms in manufacturing is measured by the share of output under foreign control, and its changes are examined at different levels: aggregate, sector and industry.

    Release date: 2017-10-30

  • Articles and reports: 11-626-X2017069
    Description:

    This article in the Economic Insights series describes the extent to which immigrant-owned businesses are in the ‘knowledge-based’ economy, in the more traditional ethnic economy, or in other industrial sectors. It further outlines the differences among immigrant classes (family, refugee, business and economic classes) in the types of businesses owned. The analysis focuses on two types of businesses: privately-owned incorporated companies and the unincorporated self-employed.

    Release date: 2017-03-17

  • Articles and reports: 11-626-X2016063
    Description:

    This Economic Insights article highlights notable changes in the pace and composition of industrial research and development (R&D) spending in Canada during the 2000-to-2013 period. The analysis is based on historical time series data that conclude with the publication of estimates for reference year 2013. New data on industrial R&D will be released in the coming months. These new survey results begin with estimates for reference year 2014 and reflect conceptual and methodological changes designed to enhance the scope and relevance of the program. Following the introduction of these changes, a study on the break in the time series will be conducted later in 2017. his article highlights trends in industrial R&D spending in advance of the upcoming release of the new data. The analysis underscores the extent to which support for higher R&D spending in more recent years has come from resource-based companies.

    Release date: 2017-02-15

  • Articles and reports: 11-626-X2016066
    Description:

    This Economic Insights article assesses the effect of falling commodity prices on Canadian real income. It is part of a research program that examines links between natural resources and economic growth.

    Release date: 2016-12-22

  • Articles and reports: 11F0019M2016386
    Description:

    This paper asks whether research and development (R&D) drives the level of competitiveness required to successfully enter export markets and whether, in turn, participation in export markets increases R&D expenditures. Canadian non-exporters that subsequently entered export markets in the first decade of the 2000s are found to be not only larger and more productive, as has been reported for previous decades, but also more likely to have invested in R&D. Both extramural R&D expenditures (purchased from domestic and foreign suppliers) and intramural R&D expenditures (performed in-house) increase the ability of firms to penetrate export markets. Exporting also has a significant impact on subsequent R&D expenditures; exporters are more likely to start investing in R&D. Firms that began exporting increased the intensity of extramural R&D expenditures in the year in which exporting occurred.

    Release date: 2016-11-28

  • Articles and reports: 11F0019M2016385
    Description:

    This study contributes to the debate about the role of self-employment in helping women improve family–work balance by offering Canadian evidence from a uniquely rich dataset that links individual records from the 2006 Census of Population to records from the 2011 National Household Survey. Unlike most previous studies estimating the determinants of women’s self-employment, the analysis focuses directly on transitions from wage employment to self-employment among new mothers.

    Release date: 2016-11-25

  • Articles and reports: 11F0019M2016384
    Description:

    In order to understand what drives aggregate fluctuations, many macroeconomic models point to aggregate shocks and discount the contribution of firm-specific shocks. Recent research from other developed countries, however, has found that aggregate fluctuations are in part driven by shocks to large firms. Using data on Canadian firms from the T2-LEAP database, which links financial statements from firms’ Corporate Income Tax Return with employment data from the Longitudinal Employment Analysis Program, this paper examines the contribution of large firms to industry-level fluctuations in gross output, investment and employment in the manufacturing sector.

    Release date: 2016-11-21

  • Articles and reports: 11-633-X2016004
    Description:

    Understanding the importance of the dynamic entry process in the Canadian economy involves measuring the amount and size of firm entry. The paper presents estimates of the importance of firm entry in Canada. It uses the database underlying the Longitudinal Employment Analysis Program (LEAP), which has produced measures of firm entry and exit since 1988. This paper discusses the methodology used to estimate entry and exit, the issues that had to be resolved and the reasons for choosing the particular solutions that were adopted. It then presents measures that are derived from LEAP. Finally, it analyzes the sensitivity of the estimates associated with LEAP to alternative methods of estimating entry and exit.

    Release date: 2016-11-10

  • Articles and reports: 11-626-X2016057
    Description:

    This Economic Insights article addresses the extent to which immigrants contribute to economic growth. For the first time, the business ownership and job-creation activities of immigrants are addressed. A longer, more detailed study is also available.

    Release date: 2016-03-21

  • Articles and reports: 11F0019M2016375
    Description:

    This paper provides, for the first time, an overview of immigrant business ownership and the associated job creation in Canada. This research is possible because a new dataset has been created in which the immigration status of business owners can be determined. The analysis focuses on two types of businesses: private incorporated businesses and the unincorporated self-employed. Results are presented for immigrants who have entered Canada since 1980 and who were in the country in 2010, hereafter simply referred to as immigrants in Canada. In addition, two entering cohorts of immigrants are tracked to determine the business ownership trajectory during the first 5 to 10 years in Canada.

    Release date: 2016-03-21

  • Articles and reports: 11-622-M2015031
    Description:

    Canada has a large group of unincorporated self-employed businesses that play a critical role in the early lifecycle of firms. This study presents summary statistics on the importance of a particular group of the self-employed: those whose primary source of income from employment comes from an unincorporated business.

    The unincorporated self-employed measured in this study are those who file the Canada Revenue Agency’s income tax return (the T1 form) and report self-employed income as the primary source of their income. The study spans the period from 1989 to 2010.

    Release date: 2015-10-08

  • Articles and reports: 11F0027M2015097
    Description:

    Canada’s aggregate productivity performance has closely tracked changes in Canada’s trading environment. To gain a better understanding of the link, the Economic Analysis Division of Statistics Canada has conducted a set of studies that investigate whether and how changes in the trading environment, brought about by trade liberalization policies and exchange-rate movements, contributed to productivity growth. The firm-level analysis provides insights into the productivity dynamics that arise from within-industry growth and restructuring as resources are shifted from declining to growing industries. The paper provides an overview of the key Canadian empirical findings over the last two decades.

    Release date: 2015-06-16

  • Articles and reports: 11-626-X2015045
    Description:

    This Economic Insights article presents quarterly estimates of employer business entry and exit, and the associated job creation and destruction from the first quarter of 2001 to the third quarter of 2014. These quarterly estimates supplement the annual data provided by Statistics Canada’s Longitudinal Employment Analysis Program (LEAP) by providing more timely, infra-annual data on business and employment dynamics.

    Release date: 2015-03-31

  • Articles and reports: 11F0027M2015096
    Description:

    This analysis examines provincial income convergence in Canada from 1926 to 2011 using National Accounts-based estimates of per capita household disposable income. Household disposable income is the income available for consumption and saving, and is, therefore, closely aligned with material well-being.

    Convergence is a long-run tendency for income levels between economies to become more similar. In its most literal sense, convergence implies that all provincial per capita disposable incomes across Canada will eventually reach the same level. Less exacting forms of convergence allow for differences in per capita income levels due to structural differences across provinces. Factors such as resource endowments, urbanization, human capital, and industry structure are believed to be sources of such differences.

    Release date: 2015-02-12

  • Articles and reports: 11F0027M2014095
    Description:

    This paper examines the investment performance of Canada and the United States, exploring similarities and differences in investments in fixed assets over the 1990-to-2011 period. This is a period when the two countries experienced different shocks. The United States suffered from a major decline in its housing markets after 2007 that did not hit Canada. The world-resource boom in the post-2000 period had a greater impact on Canada than it did on the United States. The Canada–United States exchange rate appreciated dramatically after 2003 thereby making imported machinery and equipment relatively less expensive in Canada.

    The comparison is primarily based on investment intensity, measured as the ratio of nominal dollar investment to nominal gross domestic product (GDP), but rates of growth of the volume of investment relative to the volume of GDP are also compared.

    Release date: 2014-10-21

  • Articles and reports: 11-626-X2014037
    Description:

    This Economic Insights article looks closely at Canadian enterprises that employ individuals in more than one province or territory. It studies the share of business sector enterprises, and the employment accounted for by these multi-jurisdiction enterprises, both over time and across industries. It also examines the regional mix of these enterprises, and asks if most of them are Canadian controlled.

    Release date: 2014-09-05

  • Articles and reports: 11-626-X2014038
    Description:

    This article in the Economic Insights series describes the results of a data linkage project that created experimental long-term estimates of firm entry and exit rates for the Canadian business sector. It is part of a series of papers that examines firm dynamics using micro-economic data.

    Release date: 2014-08-25

  • Articles and reports: 11F0027M2014091
    Description:

    This paper uses data from Statistics Canada's Longitudinal Employment Analysis Program database to study the distribution of annual employment growth rates in Canada over the 2000-to-2009 period, with a special emphasis on firms in the tails of the distribution, referred to here as High-Growth Firms (HGFs) and Rapidly Shrinking Firms (RSFs).

    The study has three objectives. First, it describes the distributions of employment growth rates in Canada to see whether they are consistent with observations in other countries. Second, it quantifies the contribution of HGFs and RSFs to aggregate job creation and destruction. The third objective is to examine, using quantile regression techniques, the role of firm size and firm age in the performance of HGFs and RSFs.

    Release date: 2014-05-15

  • Articles and reports: 11F0027M2014092
    Description:

    Using data from the Provincial KLEMS database, this paper asks whether provincial economies have undergone structural change in their business sectors since 2000. It does so by applying a measure of industrial change (the dissimilarity index) using measures of output (real GDP) and hours worked. The paper also develops a statistical methodology to test whether the shifts in the industrial composition of output and hours worked over the period are due to random year-over-year changes in industrial structure or long-term systematic change in the structure of provincial economies. The paper is designed to inform discussion and analysis of recent changes in industrial composition at the national level, notably, the decline in manufacturing output and the concomitant rise of resource industries, and the implications of this change for provincial economies.

    Release date: 2014-05-07

  • Articles and reports: 11F0027M2014088
    Description:

    This paper compares the relative importance of small and large firms in the business sectors of Canada and the United States from 2002 to 2008 using estimates of the contribution of small and large firms to the gross domestic product (GDP) of each country. It then makes use of estimates of labour input for comparison purposes. In this paper, small firms are defined as those with fewer than 500 employees and large firms as those with 500 or more employees.

    Release date: 2014-01-08

  • Articles and reports: 11F0027M2013087
    Description:

    The topic of firm size and performance continues to spark the interest of researchers and policy-makers. Small and medium-sized enterprises receive much of the attention, as they have the potential to grow significantly. However, compared with their larger counterparts, these firms are more likely to fail and are therefore riskier.

    Is risk important in explaining differences in profitability across firm size classes? This study uses a longitudinal firm-level dataset to examine determinants of profitability by firm size, with an emphasis on risk, or the volatility in rates of return. It builds on previous research that found firms with 10 to 20 employees tend to be the most profitable.

    Release date: 2013-12-19

  • Articles and reports: 11-622-M2013030
    Description:

    This paper describes the patterns of firm entry and exit across provinces in Canada, the relationship of these patterns to differences in industrial structure and the response of firm entry and exit to changes in the economic environment.

    Firm entry and exit play an important role in shaping industrial structure and dynamics. Although entry and exit are ubiquitous, new firms are often associated with new ideas and the provision of innovative goods and services that enhance competition and force incumbents to become more innovative and efficient. Studies have shown the considerable role played by entry and exit in resource reallocation and productivity improvement.

    Release date: 2013-12-10

  • Articles and reports: 11F0027M2013084
    Description:

    There is abundant evidence that many firms cluster together in space and that there is an association between clustering and productivity. This paper moves beyond identifying the broad effects of clustering and explores how different types of firms benefit from agglomeration. It advances research on agglomeration by showing, first, that not all firms gain to the same degree from co-location and, second, that businesses with different internal capabilities capture different forms of geographical externalities. The empirical analysis focuses on Canadian manufacturing establishments operating over the period from 1989 to 1999.

    Release date: 2013-02-06

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Analysis (209)

Analysis (209) (25 of 209 results)

  • Articles and reports: 11F0019M2018401
    Description:

    There is only a small body of international literature and little Canadian evidence related to exit and survival patterns of immigrant-owned businesses. This paper addresses this gap by answering two questions. First, do exit and survival patterns (durations) of firm ownership differ between immigrants and individuals born in Canada? Second, what characteristics are associated with lower (or higher) exit rates from business ownership and longer ownership spells among immigrants? The analysis is limited to ownership of private incorporated firms.

    Release date: 2018-01-19

  • Articles and reports: 18-001-X2017001
    Description:

    This working paper profiles Canadian firms involved in the development and production of Bioproducts. It provides data on the number and types of Bioproducts firms in 2015, covering bioproducts revenues, research and development, use of biomass, patents, products, business practices and the impact of government regulations on the sector.

    Release date: 2017-12-22

  • Articles and reports: 11F0019M2016387
    Description:

    The paper investigates recent changes in the importance of foreign ownership in Canadian manufacturing in the 2000s, and also compares these changes to those in the previous decades from 1973 to 1999. The importance of foreign firms in manufacturing is measured by the share of output under foreign control, and its changes are examined at different levels: aggregate, sector and industry.

    Release date: 2017-10-30

  • Articles and reports: 11-626-X2017069
    Description:

    This article in the Economic Insights series describes the extent to which immigrant-owned businesses are in the ‘knowledge-based’ economy, in the more traditional ethnic economy, or in other industrial sectors. It further outlines the differences among immigrant classes (family, refugee, business and economic classes) in the types of businesses owned. The analysis focuses on two types of businesses: privately-owned incorporated companies and the unincorporated self-employed.

    Release date: 2017-03-17

  • Articles and reports: 11-626-X2016063
    Description:

    This Economic Insights article highlights notable changes in the pace and composition of industrial research and development (R&D) spending in Canada during the 2000-to-2013 period. The analysis is based on historical time series data that conclude with the publication of estimates for reference year 2013. New data on industrial R&D will be released in the coming months. These new survey results begin with estimates for reference year 2014 and reflect conceptual and methodological changes designed to enhance the scope and relevance of the program. Following the introduction of these changes, a study on the break in the time series will be conducted later in 2017. his article highlights trends in industrial R&D spending in advance of the upcoming release of the new data. The analysis underscores the extent to which support for higher R&D spending in more recent years has come from resource-based companies.

    Release date: 2017-02-15

  • Articles and reports: 11-626-X2016066
    Description:

    This Economic Insights article assesses the effect of falling commodity prices on Canadian real income. It is part of a research program that examines links between natural resources and economic growth.

    Release date: 2016-12-22

  • Articles and reports: 11F0019M2016386
    Description:

    This paper asks whether research and development (R&D) drives the level of competitiveness required to successfully enter export markets and whether, in turn, participation in export markets increases R&D expenditures. Canadian non-exporters that subsequently entered export markets in the first decade of the 2000s are found to be not only larger and more productive, as has been reported for previous decades, but also more likely to have invested in R&D. Both extramural R&D expenditures (purchased from domestic and foreign suppliers) and intramural R&D expenditures (performed in-house) increase the ability of firms to penetrate export markets. Exporting also has a significant impact on subsequent R&D expenditures; exporters are more likely to start investing in R&D. Firms that began exporting increased the intensity of extramural R&D expenditures in the year in which exporting occurred.

    Release date: 2016-11-28

  • Articles and reports: 11F0019M2016385
    Description:

    This study contributes to the debate about the role of self-employment in helping women improve family–work balance by offering Canadian evidence from a uniquely rich dataset that links individual records from the 2006 Census of Population to records from the 2011 National Household Survey. Unlike most previous studies estimating the determinants of women’s self-employment, the analysis focuses directly on transitions from wage employment to self-employment among new mothers.

    Release date: 2016-11-25

  • Articles and reports: 11F0019M2016384
    Description:

    In order to understand what drives aggregate fluctuations, many macroeconomic models point to aggregate shocks and discount the contribution of firm-specific shocks. Recent research from other developed countries, however, has found that aggregate fluctuations are in part driven by shocks to large firms. Using data on Canadian firms from the T2-LEAP database, which links financial statements from firms’ Corporate Income Tax Return with employment data from the Longitudinal Employment Analysis Program, this paper examines the contribution of large firms to industry-level fluctuations in gross output, investment and employment in the manufacturing sector.

    Release date: 2016-11-21

  • Articles and reports: 11-633-X2016004
    Description:

    Understanding the importance of the dynamic entry process in the Canadian economy involves measuring the amount and size of firm entry. The paper presents estimates of the importance of firm entry in Canada. It uses the database underlying the Longitudinal Employment Analysis Program (LEAP), which has produced measures of firm entry and exit since 1988. This paper discusses the methodology used to estimate entry and exit, the issues that had to be resolved and the reasons for choosing the particular solutions that were adopted. It then presents measures that are derived from LEAP. Finally, it analyzes the sensitivity of the estimates associated with LEAP to alternative methods of estimating entry and exit.

    Release date: 2016-11-10

  • Articles and reports: 11-626-X2016057
    Description:

    This Economic Insights article addresses the extent to which immigrants contribute to economic growth. For the first time, the business ownership and job-creation activities of immigrants are addressed. A longer, more detailed study is also available.

    Release date: 2016-03-21

  • Articles and reports: 11F0019M2016375
    Description:

    This paper provides, for the first time, an overview of immigrant business ownership and the associated job creation in Canada. This research is possible because a new dataset has been created in which the immigration status of business owners can be determined. The analysis focuses on two types of businesses: private incorporated businesses and the unincorporated self-employed. Results are presented for immigrants who have entered Canada since 1980 and who were in the country in 2010, hereafter simply referred to as immigrants in Canada. In addition, two entering cohorts of immigrants are tracked to determine the business ownership trajectory during the first 5 to 10 years in Canada.

    Release date: 2016-03-21

  • Articles and reports: 11-622-M2015031
    Description:

    Canada has a large group of unincorporated self-employed businesses that play a critical role in the early lifecycle of firms. This study presents summary statistics on the importance of a particular group of the self-employed: those whose primary source of income from employment comes from an unincorporated business.

    The unincorporated self-employed measured in this study are those who file the Canada Revenue Agency’s income tax return (the T1 form) and report self-employed income as the primary source of their income. The study spans the period from 1989 to 2010.

    Release date: 2015-10-08

  • Articles and reports: 11F0027M2015097
    Description:

    Canada’s aggregate productivity performance has closely tracked changes in Canada’s trading environment. To gain a better understanding of the link, the Economic Analysis Division of Statistics Canada has conducted a set of studies that investigate whether and how changes in the trading environment, brought about by trade liberalization policies and exchange-rate movements, contributed to productivity growth. The firm-level analysis provides insights into the productivity dynamics that arise from within-industry growth and restructuring as resources are shifted from declining to growing industries. The paper provides an overview of the key Canadian empirical findings over the last two decades.

    Release date: 2015-06-16

  • Articles and reports: 11-626-X2015045
    Description:

    This Economic Insights article presents quarterly estimates of employer business entry and exit, and the associated job creation and destruction from the first quarter of 2001 to the third quarter of 2014. These quarterly estimates supplement the annual data provided by Statistics Canada’s Longitudinal Employment Analysis Program (LEAP) by providing more timely, infra-annual data on business and employment dynamics.

    Release date: 2015-03-31

  • Articles and reports: 11F0027M2015096
    Description:

    This analysis examines provincial income convergence in Canada from 1926 to 2011 using National Accounts-based estimates of per capita household disposable income. Household disposable income is the income available for consumption and saving, and is, therefore, closely aligned with material well-being.

    Convergence is a long-run tendency for income levels between economies to become more similar. In its most literal sense, convergence implies that all provincial per capita disposable incomes across Canada will eventually reach the same level. Less exacting forms of convergence allow for differences in per capita income levels due to structural differences across provinces. Factors such as resource endowments, urbanization, human capital, and industry structure are believed to be sources of such differences.

    Release date: 2015-02-12

  • Articles and reports: 11F0027M2014095
    Description:

    This paper examines the investment performance of Canada and the United States, exploring similarities and differences in investments in fixed assets over the 1990-to-2011 period. This is a period when the two countries experienced different shocks. The United States suffered from a major decline in its housing markets after 2007 that did not hit Canada. The world-resource boom in the post-2000 period had a greater impact on Canada than it did on the United States. The Canada–United States exchange rate appreciated dramatically after 2003 thereby making imported machinery and equipment relatively less expensive in Canada.

    The comparison is primarily based on investment intensity, measured as the ratio of nominal dollar investment to nominal gross domestic product (GDP), but rates of growth of the volume of investment relative to the volume of GDP are also compared.

    Release date: 2014-10-21

  • Articles and reports: 11-626-X2014037
    Description:

    This Economic Insights article looks closely at Canadian enterprises that employ individuals in more than one province or territory. It studies the share of business sector enterprises, and the employment accounted for by these multi-jurisdiction enterprises, both over time and across industries. It also examines the regional mix of these enterprises, and asks if most of them are Canadian controlled.

    Release date: 2014-09-05

  • Articles and reports: 11-626-X2014038
    Description:

    This article in the Economic Insights series describes the results of a data linkage project that created experimental long-term estimates of firm entry and exit rates for the Canadian business sector. It is part of a series of papers that examines firm dynamics using micro-economic data.

    Release date: 2014-08-25

  • Articles and reports: 11F0027M2014091
    Description:

    This paper uses data from Statistics Canada's Longitudinal Employment Analysis Program database to study the distribution of annual employment growth rates in Canada over the 2000-to-2009 period, with a special emphasis on firms in the tails of the distribution, referred to here as High-Growth Firms (HGFs) and Rapidly Shrinking Firms (RSFs).

    The study has three objectives. First, it describes the distributions of employment growth rates in Canada to see whether they are consistent with observations in other countries. Second, it quantifies the contribution of HGFs and RSFs to aggregate job creation and destruction. The third objective is to examine, using quantile regression techniques, the role of firm size and firm age in the performance of HGFs and RSFs.

    Release date: 2014-05-15

  • Articles and reports: 11F0027M2014092
    Description:

    Using data from the Provincial KLEMS database, this paper asks whether provincial economies have undergone structural change in their business sectors since 2000. It does so by applying a measure of industrial change (the dissimilarity index) using measures of output (real GDP) and hours worked. The paper also develops a statistical methodology to test whether the shifts in the industrial composition of output and hours worked over the period are due to random year-over-year changes in industrial structure or long-term systematic change in the structure of provincial economies. The paper is designed to inform discussion and analysis of recent changes in industrial composition at the national level, notably, the decline in manufacturing output and the concomitant rise of resource industries, and the implications of this change for provincial economies.

    Release date: 2014-05-07

  • Articles and reports: 11F0027M2014088
    Description:

    This paper compares the relative importance of small and large firms in the business sectors of Canada and the United States from 2002 to 2008 using estimates of the contribution of small and large firms to the gross domestic product (GDP) of each country. It then makes use of estimates of labour input for comparison purposes. In this paper, small firms are defined as those with fewer than 500 employees and large firms as those with 500 or more employees.

    Release date: 2014-01-08

  • Articles and reports: 11F0027M2013087
    Description:

    The topic of firm size and performance continues to spark the interest of researchers and policy-makers. Small and medium-sized enterprises receive much of the attention, as they have the potential to grow significantly. However, compared with their larger counterparts, these firms are more likely to fail and are therefore riskier.

    Is risk important in explaining differences in profitability across firm size classes? This study uses a longitudinal firm-level dataset to examine determinants of profitability by firm size, with an emphasis on risk, or the volatility in rates of return. It builds on previous research that found firms with 10 to 20 employees tend to be the most profitable.

    Release date: 2013-12-19

  • Articles and reports: 11-622-M2013030
    Description:

    This paper describes the patterns of firm entry and exit across provinces in Canada, the relationship of these patterns to differences in industrial structure and the response of firm entry and exit to changes in the economic environment.

    Firm entry and exit play an important role in shaping industrial structure and dynamics. Although entry and exit are ubiquitous, new firms are often associated with new ideas and the provision of innovative goods and services that enhance competition and force incumbents to become more innovative and efficient. Studies have shown the considerable role played by entry and exit in resource reallocation and productivity improvement.

    Release date: 2013-12-10

  • Articles and reports: 11F0027M2013084
    Description:

    There is abundant evidence that many firms cluster together in space and that there is an association between clustering and productivity. This paper moves beyond identifying the broad effects of clustering and explores how different types of firms benefit from agglomeration. It advances research on agglomeration by showing, first, that not all firms gain to the same degree from co-location and, second, that businesses with different internal capabilities capture different forms of geographical externalities. The empirical analysis focuses on Canadian manufacturing establishments operating over the period from 1989 to 1999.

    Release date: 2013-02-06

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