IDEAS home Printed from https://ideas.repec.org/a/rom/mrpase/v10y2018i4p33-45.html
   My bibliography  Save this article

An Empirical Study On The Relationship Between The State Of The Economy And Small Firm Characteristics: U.S. Case

Author

Listed:
  • Halil Dincer KAYA

    (Northeastern State University, 3100 E. New Orleans St., Broken Arrow, Oklahoma, United States)

Abstract

This study examines the relation between small businesses‘ characteristics and their owners‘ views on the economy. The main question here is this: ?What kind of small firms are more optimistic on the economy?? To achieve this objective, this study uses the ?United States Small Business Friendliness Survey? by Kauffman Foundation and Thumptack.com. The nonparametric tests show that, in the states where business owners have a more positive view on the national economy, firms tend to be larger, but at the same time they tend to have more local sales when compared to the other states. This study also shows that, in these states, firms‘ age and industry (except for ?Business? industry) are not significantly different from firms in other states. On the other hand, the nonparametric tests for ?state economy? show that, in the states where business owners have more a positive view on the state economy, firms are smaller, their operational area is smaller and they have more local sales when compared to the other states. This study also shows that, in the states where business owners have a more positive view on the state economy, while firms‘ age is not significantly different from firms in other states, three firm industry classifications are significantly different from firms in other states. The study concludes that the state economy and the national economy have differing effects on small businesses.

Suggested Citation

  • Halil Dincer KAYA, 2018. "An Empirical Study On The Relationship Between The State Of The Economy And Small Firm Characteristics: U.S. Case," Management Research and Practice, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 10(4), pages 33-45, December.
  • Handle: RePEc:rom:mrpase:v:10:y:2018:i:4:p:33-45
    as

    Download full text from publisher

    File URL: https://mrp.ase.ro/no104/f3.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Blanchflower, David G., 2000. "Self-employment in OECD countries," Labour Economics, Elsevier, vol. 7(5), pages 471-505, September.
    2. Emilio Congregado & Antonio Golpe & Simon Parker, 2012. "The dynamics of entrepreneurship: hysteresis, business cycles and government policy," Empirical Economics, Springer, vol. 43(3), pages 1239-1261, December.
    3. Jürgen Brünjes & Javier Revilla Diez, 2013. "‘Recession push’ and ‘prosperity pull’ entrepreneurship in a rural developing context," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 25(3-4), pages 251-271, April.
    4. Marco Cagetti & Mariacristina De Nardi, 2006. "Entrepreneurship, Frictions, and Wealth," Journal of Political Economy, University of Chicago Press, vol. 114(5), pages 835-870, October.
    5. Robert W. Fairlie, 2013. "Entrepreneurship, Economic Conditions, and the Great Recession," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 22(2), pages 207-231, June.
    6. Robert W. Fairlie, 2013. "Entrepreneurship, Economic Conditions, and the Great Recession," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 22(2), pages 207-231, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wadim STRIELKOWSKI & Svetlana KALYUGINA & Oxana MUKHORYANOVA, 2019. "Managing Human Potential And Youth Social Entrepreneurship In Peripheral Regions," Management Research and Practice, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 11(3), pages 41-51, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. KAYA Halil Dincer, 2019. "The Impact Of The 2008-2009 Global Crisis On Entrepreneurial Aspirations And Attitudes," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 14(1), pages 111-126, April.
    2. Ivan Arnautovic & Veljko Samardzic & Goran Vitomir & Tatjana Davidov & Sanda Nastic & Slobodan Popovic, 2021. "Monitoring Of Monetary-Credit Policy As Part Of The Decision-Making Of The Top Management Of The Companies Established By Local Self-Government Units On The Example Of The Republic Of Serbia," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 22-28, August.
    3. Halil D. Kaya, 2021. "The 2008-2009 Global Crisis And Entrepreneurial Activity," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 12-21, August.
    4. Fossen, Frank M., 2019. "Entrepreneurship over the Business Cycle in the United States: A Decomposition," IZA Discussion Papers 12499, Institute of Labor Economics (IZA).
    5. Yu, Li & Orazem, Peter F. & Jolly, Robert W., 2014. "Entrepreneurship over the business cycle," Economics Letters, Elsevier, vol. 122(2), pages 105-110.
    6. Halil D. Kaya, 2024. "The Relationship Between The State Of The Economy And Entrepreneurial Activity," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 78-85, August.
    7. Frank M. Fossen, 2021. "Self-employment over the business cycle in the USA: a decomposition," Small Business Economics, Springer, vol. 57(4), pages 1837-1855, December.
    8. Fritsch, Michael & Kritikos, Alexander S. & Pijnenburg, Katharina, 2013. "Business Cycles, Unemployment and Entrepreneurial Entry: Evidence from Germany," IZA Discussion Papers 7852, Institute of Labor Economics (IZA).
    9. Konon, Alexander & Fritsch, Michael & Kritikos, Alexander S., 2018. "Business cycles and start-ups across industries: An empirical analysis of German regions," Journal of Business Venturing, Elsevier, vol. 33(6), pages 742-761.
    10. Louis‐Philippe Beland & Bulent Unel, 2019. "Politics and entrepreneurship in the US," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 52(1), pages 33-57, February.
    11. Robert W. Fairlie & Frank M. Fossen, 2020. "Defining Opportunity versus Necessity Entrepreneurship: Two Components of Business Creation," Research in Labor Economics, in: Change at Home, in the Labor Market, and On the Job, volume 48, pages 253-289, Emerald Group Publishing Limited.
    12. da Fonseca, João Galindo & Pannella, Pierluca, 2023. "The housing boom and selection into entrepreneurship," Labour Economics, Elsevier, vol. 85(C).
    13. Manuel Adelino & Song Ma & David Robinson, 2017. "Firm Age, Investment Opportunities, and Job Creation," Journal of Finance, American Finance Association, vol. 72(3), pages 999-1038, June.
    14. Klapper, Leora & Love, Inessa & Randall, Douglas, 2014. "New firm registration and the business cycle," Policy Research Working Paper Series 6775, The World Bank.
    15. Bartz, Wiebke & Winkler, Adalbert, 2016. "Flexible or fragile? The growth performance of small and young businesses during the global financial crisis — Evidence from Germany," Journal of Business Venturing, Elsevier, vol. 31(2), pages 196-215.
    16. Fairlie, Robert W. & Fossen, Frank M., 2018. "Opportunity versus Necessity Entrepreneurship: Two Components of Business Creation," IZA Discussion Papers 11258, Institute of Labor Economics (IZA).
    17. Robert W. Fairlie & Frank M. Fossen, 2018. "Opportunity versus Necessity Entrepreneurship: Two Components of Business Creation," SOEPpapers on Multidisciplinary Panel Data Research 959, DIW Berlin, The German Socio-Economic Panel (SOEP).
    18. Sotirakopoulos, Panagiotis & Mount, Matthew P. & Guven, Cahit & Ulker, Aydogan & Graham, Carol, 2023. "A tale of two life stages: The imprinting effect of macroeconomic contractions on later life entrepreneurship," Journal of Business Venturing, Elsevier, vol. 38(4).
    19. Ross Levine & Yona Rubinstein, 2018. "Selection into Entrepreneurship and Self-Employment," NBER Working Papers 25350, National Bureau of Economic Research, Inc.
    20. Federico Vegetti & Dragoş Adăscăliţei, 2017. "The impact of the economic crisis on latent and early entrepreneurship in Europe," International Entrepreneurship and Management Journal, Springer, vol. 13(4), pages 1289-1314, December.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rom:mrpase:v:10:y:2018:i:4:p:33-45. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Colesca Sofia (email available below). General contact details of provider: https://edirc.repec.org/data/ccasero.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.