Professor Manuel Adelino, from Duke University, will be the Finance Seminar speaker on Friday, October 30, 2015. Manuel will present his paper titled “Firm Age, Investment Opportunities, and Job Creation”
The seminar will be held at Yale School of Management from 11:35am – 12:55pm in EVANS 4230 located at 165 Whitney Avenue.
Lunch will be served at 11:30am. We hope you can attend!
Firm Age, Investment Opportunities, and Job Creation
Manuel Adelino
Fuqua School of Business
Duke University
Song Ma
Fuqua School of Business
Duke University
David T. Robinson
Fuqua School of Business
Duke University and NBER
October 16, 2015
Abstract
New rms are an important source of job creation, but the underlying economic mechanisms responsible for this are not well understood. To explore one important mechanism, this paper focuses on employment creation that results from local demand shocks, and asks whether these new investment opportunities are seized more through the creation of new rms or through the expansion of existing fi rms. We find that new rm entry is responsible for the bulk of net employment creation in response to changing local economic conditions than growth by established rms. Moreover,
their responsiveness is larger in areas with better access to small business nance.Although we focus on the non-tradable sector for identi cation, our results extend to the construction sector and the economy as a whole, indicating that the mechanisms we uncover are economically pervasive.
