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Can socioeconomic heritage produce a lost generation with regard to entrepreneurship?

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  • Wyrwich, Michael

Abstract

A considerable amount of literature deals with the influence of institutions on entrepreneurship. But for all that, little is known about the interplay between institutions and personal determinants of entrepreneurship. In this paper, the empirical evidence that older people in transition economies have low engagement in entrepreneurial activity is the starting point for analyzing how institutions moderate the relationship between individual characteristics and entrepreneurial choice. The results show that the socioeconomic heritage of being exposed to socialism deters entrepreneurship, an effect that is more pronounced for (high)-impact entrepreneurship. Detailed analyses reveal that the effect is driven by devaluation of socialist work experience and the influence of socialism on mindset.

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  • Wyrwich, Michael, 2013. "Can socioeconomic heritage produce a lost generation with regard to entrepreneurship?," Journal of Business Venturing, Elsevier, vol. 28(5), pages 667-682.
    • Handle: RePEc:eee:jbvent:v:28:y:2013:i:5:p:667-682
    DOI: 10.1016/j.jbusvent.2012.09.001
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    Keywords

    Entrepreneurship; Institutional context; Transition;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • P30 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - General
    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact

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