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Abstract for:

Firm Size and Judicial Efficiency in Italy: Evidence from the Neighbour's Tribunal

Silvia  Giacomelli,  Carlo  Menon,  May 2012
Paper No' SERCDP0108: | Full paper (pdf)
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Keywords: Justice efficiency; Firm size, Spatial discontinuity approach, Italy

JEL Classification: K4; L11; O18

Is hard copy/paper copy available? YES - Paper Copy Still In Print.
This Paper is published under the following series: SERC Discussion Papers
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We investigate the causal relationship between judicial efficiency and firm size across Italian municipalities, exploiting spatial discontinuities in tribunals' jurisdiction for identification. Results show that halving the length of civil proceedings, average firm size would increase by around 8-12%, everything else equal. Results are robust to a number of different specifications, based on two different databases.