Application of recursive partitioning method in firms’ duration analysis in Lodzkie Voivodship Cover Image

Zastosowanie metody rekurencyjnego podziału w analizie trwania przedsiębiorstw województwa łódzkiego
Application of recursive partitioning method in firms’ duration analysis in Lodzkie Voivodship

Author(s): Artur Mikulec, Małgorzata Misztal
Subject(s): Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: enterprises; duration analysis; recursive partitioning method; survival trees

Summary/Abstract: The article presents the results of enterprises duration time analysis in Lodzkie Voivodship on the basis of data from the National Official Business Register REGON. The study examines enterprise births and deaths in Lodzkie Voivodship in the years 2010-2015. The goal of the analysis was to identify those characteristics of enterprises which were significantly related to the duration time and the risk of firm’s liquidation. In the duration analysis, the Kaplan-Meier survival curves and Cox proportional-hazards regression model were used. As an alternative, recursive partitioning in combination with the Kaplan-Meier method is proposed. The model building process is based on recursive partitioning the set of enterprises into homogenous subsets and the Kaplan-Meier estimate of the survival function in each terminal node is reported. The results can be presented graphically using survival trees. In the paper two tree-based algorithms were used to distinguish and describe groups of enterprises with similar duration time.

  • Issue Year: 2018
  • Issue No: 507
  • Page Range: 179-190
  • Page Count: 12
  • Language: Polish
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