Table 7
Domestic plants, new firm entrants versus plants born to incumbents, and by decade of birth

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Domestic plants, new firm entrants versus plants born to incumbents, and by decade of birth
Table summary
This table displays the results of models for domestic plants by firm origin and decade of birth (born to incumbents, greenfield entrants, and greenfield entrants by decade of birth). The row headers describe the variables used in the models (plant and place characteristics). The column headers identify the estimated model and associated coefficient and p-value alternating across the models. The column header also identifies the difference between the models' coefficients, displayed as the difference itself and related p-value.
  Born to incumbents Greenfield entrants Greenfield less incumbent coefficient Greenfield entrants by decade of birth 1980s less 1970s coefficient
1970s 1980s
  coefficient p-value coefficient p-value difference p-value coefficient p-value coefficient p-value difference p-value
Change in plant characteristics  
Ratio of profit to value added 0.762 <0.001 0.646 <0.001 -0.116 0.014 0.660 <0.001 0.642 <0.001 -0.018 0.663
Production workers -0.112 <0.001 -0.101 <0.001 0.011 0.314 -0.089 <0.001 -0.105 <0.001 -0.016 0.371
Ratio of non-production workers to production workers 0.373 <0.001 0.443 <0.001 0.070 0.265 0.567 <0.001 0.419 <0.001 -0.148 0.215
Multi-plant status 0.107 0.017 -0.013 0.882 -0.120 0.170 0.046 0.336 -0.015 0.886 -0.061 0.796
Foreign-plant status -0.067 0.461 -0.245 <0.001 -0.178 0.062 -0.006 0.757 -0.517 <0.001 -0.511 0.000
Change in place characteristics  
Labour mix -0.453 <0.001 -0.543 <0.001 -0.090 0.019 -0.467 <0.001 -0.559 <0.001 -0.092 0.083
Local density upstream suppliers 0.091 0.002 0.042 0.142 -0.049 0.123 0.095 0.044 0.036 0.267 -0.059 0.300
Plants within 5 kilometres 0.015 0.343 0.020 0.050 0.005 0.857 -0.012 0.338 0.025 0.037 0.037 0.038
Population -0.036 0.737 -0.232 0.017 -0.196 0.072 -0.211 0.309 -0.238 0.020 -0.027 0.727
Constant -0.007 0.650 0.050 0.010 0.057 … 0.011 0.729 0.058 0.004 0.047 …
Domestic plants, new firm entrants versus plants born to incumbents, and by decade of birth (continued)
  Born to incumbents Greenfield entrants Greenfield less incumbent coefficient Greenfield entrants by decade of birth 1980s less 1970s coefficient
1970s 1980s
Number of observations 2,572 5,704 … 986 4,718 …
R-squared 0.480 0.480 … 0.539 0.470 …
Root mean squared error 0.398 0.408 … 0.373 0.414 …
Source(s):
Statistics Canada, Annual Survey of Manufacturers, 1989 and 1999.
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