General Economics (econ.GN)

Abstract: Research has investigated the impact of the COVID-19 pandemic on business performance and survival, indicating particularly adverse effects for small and midsize businesses (SMBs). Yet only limited work has examined whether and how online advertising technology may have helped shape these outcomes, particularly for SMBs. The aim of this study is to address this gap. By constructing and analyzing a novel data set of more than 60,000 businesses in 49 countries, we examine the impact of government lockdowns on business survival. Using discrete-time survival models with instrumental variables and staggered difference-in-differences estimators, we find that government lockdowns increased the likelihood of SMB closure around the world but that use of online advertising technology attenuates this adverse effect. The findings show heterogeneity in country, industry, and business size, consistent with theoretical expectations.

Abstract: In spite of being one of the smallest and wealthiest countries in the European Union in terms of GDP per capita, Luxembourg is facing socio-economic challenges due to recent rapid urban transformations. This article contributes by approaching this phenomenon at the most granular and rarely analysed geographical level - the neighbourhoods of the capital, Luxembourg City. Based on collected empirical data covering various socio-demographic dimensions for 2020-2021, an ascending hierarchical classification on principal components is set out to establish neighbourhoods' socio-spatial patterns. In addition, Chi2 tests are carried out to examine residents' socio-demographic characteristics and determine income inequalities in neighbourhoods. The results reveal a clear socio-spatial divide along a north-west south-east axis. Moreover, classical factors such as gender or citizenship differences are revealed to be poorly determinant of income inequalities compared with the proportion of social benefits recipients and single residents.