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What a Difference a Y makes-Female and Male Nascent Entrepreneurs in Germany

  • Joachim Wagner

    ()

In western industrialized countries men are on average more than twice as active in entrepreneurship as women. Based on data from a recent representative survey of the adult population in Germany this paper uses an empirical model for the decision to become self-employed to test for differences between women and men in the ceteris paribus impact of several characteristics and attitudes, taking the rare events nature of becoming an entrepreneur into account. Furthermore, a non-parametric approach using Mahalanobis- distance matching of man and woman which are as similar as possible in all characteristics and attitudes but the “small difference” is used to investigate the difference in the propensity to become self-employed by sex. A core finding is that the difference between men and women in both the extent and the effect of considering fear of failure to be a reason not to start one’s own business is important for the explanation of the gap in entrepreneurship by sex. Copyright Springer 2007

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File URL: http://hdl.handle.net/10.1007/s11187-005-0259-x
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Article provided by Springer in its journal Small Business Economics.

Volume (Year): 28 (2007)
Issue (Month): 1 (January)
Pages: 1-21

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Handle: RePEc:kap:sbusec:v:28:y:2007:i:1:p:1-21
Contact details of provider: Web page: http://www.springerlink.com/link.asp?id=100338

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  1. Catherine C. Eckel & Philip J. Grossman, 2008. "Forecasting Risk Attitudes: An Experimental Study Using Actual and Forecast Gamble Choices," Monash Economics Working Papers archive-01, Monash University, Department of Economics.
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  19. 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.
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  28. Beesley, M E & Hamilton, R T, 1984. "Small Firms' Seedbed Role and the Concept of Turbulence," Journal of Industrial Economics, Wiley Blackwell, vol. 33(2), pages 217-31, December.
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