@article{Guinnane:206854, recid = {206854}, author = {Guinnane, Timothy and Martinez Rodriguez, Susana}, title = {Choice of Enterprise Form: Spain, 1886-1936}, address = {2015-07}, number = {1858-2016-152860}, series = {Economic Growth Center Discussion paper}, pages = {57}, year = {2015}, abstract = {Economists have long neglected study of an important contractual decision, a firm’s choice of legal form. Enterprise form shapes the relations among a firm’s owners as well as many features of a firm’s interactions with the rest of the economy. Using unusual firm-level data on Spain 1886-1936, we estimate nested logit models of the determinants of enterprise form choice. In 1919, Spain introduced a new enterprise form that compromised between partnerships and corporations, and displaced larger partnerships and smaller corporations. This Sociedad de Responsabilidad Limitada was especially important for small and median-sized enterprises whose owners were not related.}, url = {http://ageconsearch.umn.edu/record/206854}, doi = {https://doi.org/10.22004/ag.econ.206854}, }