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2013•European State Aid Law QuarterlyRequires access

Does State Aid Create Jobs? The Short and Mid-Term Employment Effects of Subsidies

Caroline Buts, Marc Jegers

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Abstract

This article looks at the aggregate effect of subsidies to Belgian firms on their levels of employment. It appears that firms receiving high subsidies experience a significantly higher increase in employment (FTE) than firms not receiving subsidies. This effect becomes visible about two years after the subsidies have been granted. This result sheds a more positive light on the employment effects of State aid than most of the previous studies focusing solely on aid mea

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What this paper is about

This article looks at the aggregate effect of subsidies to Belgian firms on their levels of employment. It appears that firms receiving high subsidies experience a significantly higher increase in employment (FTE) than firms not receiving subsidies. This effect becomes visible about two years after the subsidies have been granted. This result sheds a more positive light on the employment effects of State aid than most of the previous studies focusing solely on aid mea

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OpenAlex reports 2 citations for this work. Citation counts describe recorded attention and do not establish research quality.

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Available abstract

This article looks at the aggregate effect of subsidies to Belgian firms on their levels of employment. It appears that firms receiving high subsidies experience a significantly higher increase in employment (FTE) than firms not receiving subsidies. This effect becomes visible about two years after the subsidies have been granted. This result sheds a more positive light on the employment effects of State aid than most of the previous studies focusing solely on aid mea

Key concepts: Subsidy, State (computer science), Labour economics, Term (time), Economics, Business, Market economy, Algorithm

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