Type of Submission
AHFME Symposium Abstract
The relationships between restaurant failure rates and business cycles are examined at two levels: (1) state level for 50 U.S. states and (2) U.S. regional level for nine regions for the period 1990-1996. As a proxy measure for each state business cycle, deflated state Gross Domestic Product is used. Restaurant failure rates are derived from officia1U.S. Bankruptcy Court records. The correlation analysis suggests a negative linear relationship between state restaurant failure rates and state business cycles. At the regional level, both positive and negative relationships are observed.
"An Analysis of Business Cycles and Restaurant Failure Rates,"
Journal of Hospitality Financial Management:
1, Article 9.
Available at: http://scholarworks.umass.edu/jhfm/vol8/iss1/9