Francesco Manaresi (Bank of Italy)
"Managerial Input and Firm Performance. Evidence from a Policy Experiment."
Wednesday 14 February - h. 14.30
Sala Acquario, DIEC
Abstract
This paper studies whether a small monetary subsidy to acquire con- sultancy services can boost firm performance. We examine an Italian subsidy program and identify the causal impact of the policy by compar- ing firms that nearly got the subsidy to firms that nearly missed it due to small differences in their time of application in a difference-in-differences framework. The subsidy was effective in increasing exports outside the EU, firm labor productivity, profitability, and size. Interviews with con- sultants reveal that the initial contracts led to enduring relationships with beneficiary firms, and providers offered additional services such as support for digitalization.