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Entrepreneurship training, risk aversion and other personality traits: Evidence from a random experiment

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Author Info

  • Fairlie, Robert W.
  • Holleran, William

Abstract

A growing literature examines the relationship between personality traits and entrepreneurship, but no previous studies explore whether personality or psychological traits predispose individuals to benefit more from entrepreneurship training. To address selection issues, we use novel data from the largest-ever randomized control experiment providing entrepreneurship training in the United States. We find evidence indicating that individuals who are more risk tolerant benefit more from entrepreneurship training than less risk-tolerant individuals. We find some limited evidence that individuals who have a preference for autonomy benefit more from entrepreneurship training in the short run, but we find no evidence of longer-term effects and no evidence of differential effects of entrepreneurship training for individuals who are more innovative.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Economic Psychology.

Volume (Year): 33 (2012)
Issue (Month): 2 ()
Pages: 366-378

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Handle: RePEc:eee:joepsy:v:33:y:2012:i:2:p:366-378

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Web page: http://www.elsevier.com/locate/joep

Related research

Keywords: Entrepreneurship; Personality traits; Training; Business ownership; Risk aversion;

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References

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Cited by:
  1. Caliendo, Marco & Fossen, Frank M. & Kritikos, Alexander S., 2011. "Personality characteristics and the decision to become and stay self-employed," Discussion Papers 2011/9, Free University Berlin, School of Business & Economics.
  2. Michael Kremer & Jonathan Robinson & Olga Rostapshova, 2014. "Success in Entrepreneurship: Doing the Math," NBER Chapters, in: African Successes: Modernization and Development National Bureau of Economic Research, Inc.

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