A Tractable Approach to the Firm Location Decision Problem

By Paulo P. Guimares, Octvio Figueirdo, Douglas P. Woodward. Review of Economics and Statistics, 2003

362 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Marketing

View Paper: https://www.semanticscholar.org/paper/444c3e8ab02fcfdb46abdbe8b6309faaec72feda

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Citations in the corpus

Cross-Border Mergers and Acquisitions and European Integration (2009, neutral): “62 NICOLAS COEURDACIER, ROBERTO A. DE SANTIS AND ANTONIN AVIAT regarding firms’ location decision problems (Guimarães et al., 2003; Head and Ries, 2007).”
Assessing the effects of local taxation using microgeographic data (2011, positive): “Estimates in the ﬁrst two columns are from a Poisson regression using the equivalence result from Guimaraes et al. (2003).”
Location decisions of Japanese new manufacturing plants in China: a discrete-choice analysis (2006, methodology): “Guimaraes et al. (2003) tried to avoid the IIA assumption by connecting the conditional logit model and the Poisson regression in their computational processes with the incorporation of sectoral variables.”
The agglomeration of headquarters (2008, methodology): “To analyze location decisions for births, we conceptualize in a discrete logit framework ( Goldberg (1995) ), where firms look across locations to pick the profit maximizing location for their new HQ’s.”
Do Agglomeration Economies Reduce the Sensitivity of Firm Location to Tax Differentials (2012, neutral): “…logit model becomes: lnLCL = ∑ f ∑ j dfij ln pij = ∑ i ∑ j nij ln pij , where nij represents the number of firms in sector i that choose location j. Guimaraes et al. (2003) have shown that the same log-likelihood, up to a constant, obtains if one assumes nij to be independently Poisson…”
The Effects of Financial Development on Foreign Direct Investment (2014, neutral): “Guimaraes et al. (2003) demonstrate that the conditional logit model and the Poisson regression model share the same log-likelihood function with purely location-specific determinants.”
The mechanisms of agglomeration: Evidence from the effect of inter-industry relations on the location of new firms (2011, methodology): “…that firm k locates in geographical unit c has a Conditional Logit form: ∑ ⋅+ +⋅ = c iiciciic iiciciic γ'x+empδβ'a γ'xempδ+β'a c) in locatesk Pr(firm (12) Guimarães et al (2003) have shown that the Conditional Logit coefficients can be equivalently estimated using the Poisson regression with…”
On the Equivalence of Location Choice Models: Conditional Logit, Nested Logit and Poisson (2011, neutral): “Taking their estimated parameters and computing the empirical probabilities (18)-(21), we can calculate all the implied elasticities of Table 2.”
A two-step estimator for a spatial lag model of counts: Theory, small sample performance and an application☆ (2010, methodology): “Guimarães et al. (2003, 2004) provided the theoretical foundations behind firm site selection in the context of a random profit maximization model.”