Local financial development and the growth of small firms in Vietnam

verfasst von

Viet T. Tran, Yabibal M. Walle, Helmut Herwartz, Trung Thanh Nguyen

Abstract

This paper examines whether heterogeneities in financial development among Vietnamese provinces matter for firm growth in Vietnam. Using a nationally representative firm survey that covers more than 41,000 firms for the period 2009 − 2013, we estimate the impact of provincial financial development on the growth rates of firms by accounting for sectoral differences in growth opportunities. We find that province-level financial development promotes the growth rates of sales, investment and sales per worker of small firms, and reduces the growth rate of the wage-to-sales ratio. Our results imply that firms grow faster in provinces with a higher level of financial development. Moreover, the effect of financial development on growth rates is larger when firms operate in sectors with better growth opportunities.

Organisationseinheit(en)

Institut für Umweltökonomik und Welthandel

Externe Organisation(en)

Georg-August-Universität Göttingen
Vietnam National University of Forestry
German Institute of Development and Sustainability (IDOS)

Typ

Artikel

Journal

Journal of the Asia Pacific Economy

Band

29

Seiten

1564-1598

Anzahl der Seiten

35

ISSN

1354-7860

Publikationsdatum

2024

Publikationsstatus

Veröffentlicht

Peer-reviewed

Ja

ASJC Scopus Sachgebiete

Geografie, Planung und Entwicklung, Entwicklung, Politikwissenschaften und internationale Beziehungen

Ziele für nachhaltige Entwicklung

SDG 8 – Anständige Arbeitsbedingungen und wirtschaftliches Wachstum

Elektronische Version(en)

https://doi.org/10.1080/13547860.2022.2109379 (Zugang: Geschlossen)