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Unemployment Benefits Crowd Out Nascent Entrepreneurial Activity

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Author Info
Koellinger, Ph.D.
Minniti, M. (Erasmus Research Institute of Management (ERIM), RSM Erasmus University)

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Abstract

Analyzing a cross-country panel of 16 OECD countries from 2002 to 2005, we find that higher unemployment benefits crowd out nascent entrepreneurial activity. Our results hold regardless of entrepreneurial motivation (necessity or opportunity) and entrepreneurial type (imitative or innovative).

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File URL: http://hdl.handle.net/1765/11808
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Publisher Info
Paper provided by Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam. in its series Research Paper with number ERS-2008-012-ORG Revision_Date: 2009-07-29.

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Date of creation: 25 Mar 2008
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Handle: RePEc:dgr:eureri:1765011808

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Keywords: entrepreneurship; business startups; unemployment benefits;

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This paper has been announced in the following NEP Reports: References listed on IDEAS
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  1. André van Stel & Peter Brouwer & Sander Wennekers & Jolanda Hessels, 2007. "Social security arrangements and early-stage entrepreneurial activity," Scales Research Reports H200708, EIM Business and Policy Research. [Downloadable!]
  2. Simon C. Parker & Martin T. Robson, 2004. "Explaining International Variations in Self-Employment: Evidence from a Panel of OECD Countries," Southern Economic Journal, Southern Economic Association, vol. 71(2), pages 287-301, October.
  3. Philipp Koellinger, 2008. "Why are some entrepreneurs more innovative than others?," Small Business Economics, Springer, vol. 31(1), pages 21-37, June. [Downloadable!] (restricted)
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This page was last updated on 2009-12-9.

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