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Table 3 Parameters controlling the probability of employment growth by type of firms

From: Mandatory costs by firm size thresholds: firm location, growth and death in Sri Lanka

  Type of firm  
Employment in period t EPZ Non EPZ Difference
Firm employment growth effects below the threshold
\( {\mathrm{E}}_{\mathrm{it}}^{{\mathrm{L}}^{-}}=1:{\mathrm{L}}_{\mathrm{it}-1}\le 13 \) \( {\upbeta}_{{\mathrm{L}}^{-}}+{\upbeta}_{\mathrm{EPZ}}+{\upgamma}_{{\mathrm{L}}^{-}} \) \( {\upbeta}_{{\mathrm{L}}^{-}} \) \( {\upbeta}_{\mathrm{EPZ}}+{\upgamma}_{{\mathrm{L}}^{-}} \)
Lit = 14 βEPZ reference βEPZ
Difference \( {\upbeta}_{{\mathrm{L}}^{-}}+{\upgamma}_{{\mathrm{L}}^{-}} \) \( {\upbeta}_{{\mathrm{L}}^{-}} \) \( {\upgamma}_{{\mathrm{L}}^{-}} \)
Firm employment growth effects above the threshold
\( {\mathrm{E}}_{\mathrm{it}}^{{\mathrm{L}}^{+}}=1:\ {\mathrm{L}}_{\mathrm{it}}\ge 15 \) \( {\upbeta}_{{\mathrm{L}}^{+}}+{\upbeta}_{\mathrm{EPZ}}+{\upgamma}_{{\mathrm{L}}^{+}} \) \( {\upbeta}_{{\mathrm{L}}^{+}} \) \( {\upbeta}_{\mathrm{EPZ}}+{\upgamma}_{{\mathrm{L}}^{+}} \)
Lit = 14 βEPZ reference βEPZ
Difference \( {\upbeta}_{{\mathrm{L}}^{+}}+{\upgamma}_{L^{+}} \) \( {\upbeta}_{{\mathrm{L}}^{+}} \) \( {\upgamma}_{{\mathrm{L}}^{+}} \)
  1. EPZ: Export Promotion Zone.