Regulatory red tape and private firm performance

Firm-level evidence from the Netherlands

Gjalt de Jong, Arjen van Witteloostuijn

Research output: Contribution to journalArticleScientificpeer-review

Abstract

Regulation may obstruct dynamic adaptation, innovative power, and entrepreneurial activity. On the other hand, regulation could be interpreted as a phenomenon which society just has to learn to live with, and which otherwise does no real economic harm. This article explores both of these hypotheses. We study the impact of three dimensions of regulatory red tape on the performance of private companies: regulation cost, regulation change, and regulation inconsistency. We analyse unique survey data from 530 Dutch private companies. The results show that regulation cost, inconsistency, and change limit sales turnover growth, and that regulation change hampers market competition performance.
Original languageEnglish
Pages (from-to)34-51
JournalPublic Administration
Volume93
Issue number1
Early online date16 Jun 2014
DOIs
Publication statusPublished - Mar 2015

Fingerprint

Netherlands
firm
regulation
performance
evidence
costs
turnover
sales
market
economics

Cite this

de Jong, Gjalt ; van Witteloostuijn, Arjen. / Regulatory red tape and private firm performance : Firm-level evidence from the Netherlands. In: Public Administration. 2015 ; Vol. 93, No. 1. pp. 34-51.
@article{e98626cdeb2f4a999c51b96e3120129b,
title = "Regulatory red tape and private firm performance: Firm-level evidence from the Netherlands",
abstract = "Regulation may obstruct dynamic adaptation, innovative power, and entrepreneurial activity. On the other hand, regulation could be interpreted as a phenomenon which society just has to learn to live with, and which otherwise does no real economic harm. This article explores both of these hypotheses. We study the impact of three dimensions of regulatory red tape on the performance of private companies: regulation cost, regulation change, and regulation inconsistency. We analyse unique survey data from 530 Dutch private companies. The results show that regulation cost, inconsistency, and change limit sales turnover growth, and that regulation change hampers market competition performance.",
author = "{de Jong}, Gjalt and {van Witteloostuijn}, Arjen",
year = "2015",
month = "3",
doi = "10.1111/padm.12098",
language = "English",
volume = "93",
pages = "34--51",
journal = "Public Administration",
issn = "0033-3298",
publisher = "Wiley",
number = "1",

}

Regulatory red tape and private firm performance : Firm-level evidence from the Netherlands. / de Jong, Gjalt; van Witteloostuijn, Arjen.

In: Public Administration, Vol. 93, No. 1, 03.2015, p. 34-51.

Research output: Contribution to journalArticleScientificpeer-review

TY - JOUR

T1 - Regulatory red tape and private firm performance

T2 - Firm-level evidence from the Netherlands

AU - de Jong, Gjalt

AU - van Witteloostuijn, Arjen

PY - 2015/3

Y1 - 2015/3

N2 - Regulation may obstruct dynamic adaptation, innovative power, and entrepreneurial activity. On the other hand, regulation could be interpreted as a phenomenon which society just has to learn to live with, and which otherwise does no real economic harm. This article explores both of these hypotheses. We study the impact of three dimensions of regulatory red tape on the performance of private companies: regulation cost, regulation change, and regulation inconsistency. We analyse unique survey data from 530 Dutch private companies. The results show that regulation cost, inconsistency, and change limit sales turnover growth, and that regulation change hampers market competition performance.

AB - Regulation may obstruct dynamic adaptation, innovative power, and entrepreneurial activity. On the other hand, regulation could be interpreted as a phenomenon which society just has to learn to live with, and which otherwise does no real economic harm. This article explores both of these hypotheses. We study the impact of three dimensions of regulatory red tape on the performance of private companies: regulation cost, regulation change, and regulation inconsistency. We analyse unique survey data from 530 Dutch private companies. The results show that regulation cost, inconsistency, and change limit sales turnover growth, and that regulation change hampers market competition performance.

U2 - 10.1111/padm.12098

DO - 10.1111/padm.12098

M3 - Article

VL - 93

SP - 34

EP - 51

JO - Public Administration

JF - Public Administration

SN - 0033-3298

IS - 1

ER -