New firm creation and failure: A matching approach
AbstractWe propose that the rate of creation and failure of new firm start-ups can be modelled as a search and matching process, as in labor market matching models. Deriving a novel Entrepreneurship-Beveridge curve, we show that a successful start-up depends on the efficiency with which entrepreneurial ability is matched with business opportunity, and outline a number of possible applications of this matching approach to formalize the economics of entrepreneurship.
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Bibliographic InfoPaper provided by United Nations University, Maastricht Economic and social Research and training centre on Innovation and Technology in its series UNU-MERIT Working Paper Series with number 015.
Date of creation: 2012
Date of revision:
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Web page: http://www.merit.unu.edu
Entrepreneurship; start-ups; labor market matching;
Other versions of this item:
- Thomas Gries & Stefan Jungblut & Wim Naude, 2011. "New Firm Creation and Failure: A Matching Approach," Working Papers 39, University of Paderborn, CIE Center for International Economics.
- L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
- M13 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - New Firms; Startups
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-03-14 (All new papers)
- NEP-BEC-2012-03-14 (Business Economics)
- NEP-CSE-2012-03-14 (Economics of Strategic Management)
- NEP-DGE-2012-03-14 (Dynamic General Equilibrium)
- NEP-ENT-2012-03-14 (Entrepreneurship)
- NEP-SBM-2012-03-14 (Small Business Management)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Gries, Thomas & Naude, Wim, 2008.
"Entrepreneurship and Structural Economic Transformation,"
Working Paper Series
RP2008/62, World Institute for Development Economic Research (UNU-WIDER).
- Thomas Gries & Wim Naudé, 2010. "Entrepreneurship and structural economic transformation," Small Business Economics, Springer, vol. 34(1), pages 13-29, January.
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"What Makes an Entrepreneur?,"
Economics Series Working Papers
99125, University of Oxford, Department of Economics.
- Gries, Thomas & Naudé, Wim, 2011.
"Entrepreneurship and human development: A capability approach,"
Journal of Public Economics,
Elsevier, vol. 95(3), pages 216-224.
- Gries, Thomas & Naudé, Wim, 2011. "Entrepreneurship and human development: A capability approach," Journal of Public Economics, Elsevier, vol. 95(3-4), pages 216-224, April.
- Gries,Thomas & Naudé, Wim, 2010. "Entrepreneurship and Human Development: A Capability Approach," Working Paper Series wp2010-68, World Institute for Development Economic Research (UNU-WIDER).
- Blanchflower, David G. & Oswald, Andrew & Stutzer, Alois, 2001. "Latent entrepreneurship across nations," European Economic Review, Elsevier, vol. 45(4-6), pages 680-691, May.
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- Christopher A. Pissarides, 2000. "Equilibrium Unemployment Theory, 2nd Edition," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262161877, June.
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