Evaluation of the Styrian strategy ("Kernstrategie 2") to promote business development

This study analyses the impact of subsidies granted by the Styrian agency "SFG" and is subdivided in a qualitative and a quantitative section. The quantitative part uses modern econometric methods (matching and/or panel econometrics) to estimate the causal effects of subsidies on different performance figures of firms. The data base contains panel data of the Kreditschutzverband as well as information on the subsidies (of the SFG). Previously, studies of this kind are based on surveys conducted among firms that received subsidies rather than analysing the impact of subsidies on firm performance. The results of this study should help the Styrian government to redesign its policies to promote business development.