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Explaining ethnic entrepreneurship: An evolutionary economics approach

  • Ibrahim, Gamal
  • Galt, Vaughan
Registered author(s):

    The cultural approaches and the economic approaches advocated by mainstream neoclassical economists and new institutional economists fail to provide an adequate explanation of the differences between ethnic groups in the rate of business formation. These approaches provide only a partial explanation, much of which is based on static, predetermined exogenous and/or endogenous factors. By comparison the old institutional economists’ framework, when applied to this area, offers a more holistic explanation of differential ethnic business formation by bringing together a range of cultural and economic factors that emphasize the path dependency of activities and the dynamic evolution of behaviour and actions.

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    File URL: http://www.sciencedirect.com/science/article/pii/S0969593111000345
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    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 20 (2011)
    Issue (Month): 6 ()
    Pages: 607-613

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    Handle: RePEc:eee:iburev:v:20:y:2011:i:6:p:607-613
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    1. Geoffrey Hodgson, 2010. "Choice, habit and evolution," Journal of Evolutionary Economics, Springer, vol. 20(1), pages 1-18, January.
    2. Veblen, Thorstein, 1898. "Why Economics is not an Evolutionary Science," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 12.
    3. Guido Buenstorf, 2007. "Creation and Pursuit of Entrepreneurial Opportunities: An Evolutionary Economics Perspective," Small Business Economics, Springer, vol. 28(4), pages 323-337, April.
    4. Rolf Sternberg & Sander Wennekers, 2005. "Determinants and Effects of New Business Creation Using Global Entrepreneurship Monitor Data," Small Business Economics, Springer, vol. 24(3), pages 193-203, 01.
    5. Geoffrey M. Hodgson, 1998. "The Approach of Institutional Economics," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 166-192, March.
    6. Robert Kloosterman, 1999. "Mixed Embeddedness: (In)formal Economic Activities and Immigrant Businesses in the Netherlands," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 23(2), pages 252-266, 06.
    7. Clark, Kenneth & Drinkwater, Stephen, 2000. "Pushed out or pulled in? Self-employment among ethnic minorities in England and Wales," Labour Economics, Elsevier, vol. 7(5), pages 603-628, September.
    8. Moore, Robert L, 1983. "Employer Discrimination: Evidence from Self-Employed Workers," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 496-501, August.
    9. Roy Thurik & Sander Wennekers & Ingrid Verheul & David Audretsch, 2001. "An eclectic theory of entrepreneurship: policies, institutions and culture," Scales Research Reports H200012, EIM Business and Policy Research.
    10. Blanchflower, David G & Oswald, Andrew J, 1998. "What Makes an Entrepreneur?," Journal of Labor Economics, University of Chicago Press, vol. 16(1), pages 26-60, January.
    11. Kihlstrom, Richard E & Laffont, Jean-Jacques, 1979. "A General Equilibrium Entrepreneurial Theory of Firm Formation Based on Risk Aversion," Journal of Political Economy, University of Chicago Press, vol. 87(4), pages 719-48, August.
    12. Barry R. Chiswick, 1983. "The Earnings and Human Capital of American Jews," Journal of Human Resources, University of Wisconsin Press, vol. 18(3), pages 313-336.
    13. Fairlie, Robert, 2014. "Ethnic and Racial Self-Employment Differences and Possible Explanations," Santa Cruz Department of Economics, Working Paper Series qt24p7v6gc, Department of Economics, UC Santa Cruz.
    14. David G. Blanchflower, 2004. "Self-Employment: More may not be better," NBER Working Papers 10286, National Bureau of Economic Research, Inc.
    15. Dahlman, Carl J, 1979. "The Problem of Externality," Journal of Law and Economics, University of Chicago Press, vol. 22(1), pages 141-62, April.
    16. Masurel, Enno & Nijkamp, Peter, 2003. "Differences between First-Generation and Second-Generation Ethnic start-ups : implications for a new support policy," Serie Research Memoranda 0024, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    17. Sjoerd Beugelsdijk, 2007. "Entrepreneurial culture, regional innovativeness and economic growth," Journal of Evolutionary Economics, Springer, vol. 17(2), pages 187-210, April.
    18. Lee, Sang M. & Peterson, Suzanne J., 2000. "Culture, entrepreneurial orientation, and global competitiveness," Journal of World Business, Elsevier, vol. 35(4), pages 401-416, January.
    19. repec:cup:cbooks:9780521828130 is not listed on IDEAS
    20. Evans, David S & Jovanovic, Boyan, 1989. "An Estimated Model of Entrepreneurial Choice under Liquidity Constraints," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 808-27, August.
    21. Davidsson, Per & Honig, Benson, 2003. "The role of social and human capital among nascent entrepreneurs," Journal of Business Venturing, Elsevier, vol. 18(3), pages 301-331, May.
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