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Female Entrepreneurship, Agglomeration, and a New Spatial Mismatch

Author

Listed:
  • Stuart S. Rosenthal

    (Syracuse University)

  • William C. Strange

    (University of Toronto)

Abstract

Female entrepreneurs may be less networked than their male counterparts and so derive less benefit from agglomeration. They may also have greater domestic burdens and therefore have higher commuting costs. This paper develops a theoretical model showing that either of these forces can lead to the segregation of male- and female-owned businesses, with female entrepreneurs choosing locations farther from agglomerations and commuting shorter distances. Empirical analysis is consistent with these predictions. Female-owned businesses are segregated, often to a degree similar to black-white residential segregation. Female-owned enterprises are less exposed to agglomeration, with 10% to 20% less own-industry employment nearby. © 2012 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.

Suggested Citation

  • Stuart S. Rosenthal & William C. Strange, 2012. "Female Entrepreneurship, Agglomeration, and a New Spatial Mismatch," The Review of Economics and Statistics, MIT Press, vol. 94(3), pages 764-788, August.
  • Handle: RePEc:tpr:restat:v:94:y:2012:i:3:p:764-788
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    Citations

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    Cited by:

    1. repec:eee:regeco:v:69:y:2018:i:c:p:25-37 is not listed on IDEAS
    2. Ghani, Ejaz & Kerr, William R. & O'Connell, Stephen D., 2014. "Political reservations and women's entrepreneurship in India," Journal of Development Economics, Elsevier, vol. 108(C), pages 138-153.
    3. Gilles Duranton & William R. Kerr, 2015. "The Logic of Agglomeration," Harvard Business School Working Papers 16-037, Harvard Business School.
    4. Sara, Amoroso & Albert, Link, 2017. "Under the AEGIS∗ of knowledge intensive entrepreneurship: Employment growth and gender of founders among European Firms," UNCG Economics Working Papers 17-9, University of North Carolina at Greensboro, Department of Economics.
    5. Aaron Chatterji & Edward Glaeser & William Kerr, 2014. "Clusters of Entrepreneurship and Innovation," Innovation Policy and the Economy, University of Chicago Press, vol. 14(1), pages 129-166.
    6. repec:kap:sbusec:v:50:y:2018:i:4:d:10.1007_s11187-017-9920-4 is not listed on IDEAS
    7. Cathy Yang Liu & Gary Painter & Qingfang Wang, 2015. "Immigrant entrepreneurship and agglomeration in high-tech industries in the USA," Chapters,in: Innovation and Entrepreneurship in the Global Economy, chapter 8, pages 184-209 Edward Elgar Publishing.
    8. Claudia N. Berg & Uwe Deichmann & Yishen Liu & Harris Selod, 2017. "Transport Policies and Development," Journal of Development Studies, Taylor & Francis Journals, vol. 53(4), pages 465-480, April.
    9. Sari Pekkala Kerr & William R. Kerr & Tina Xu, 2017. "Personality Traits of Entrepreneurs: A Review of Recent Literature," NBER Working Papers 24097, National Bureau of Economic Research, Inc.
    10. repec:eee:regeco:v:69:y:2018:i:c:p:122-129 is not listed on IDEAS
    11. Steven Ongena & Alexander Popov, 2016. "Gender Bias and Credit Access," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 48(8), pages 1691-1724, December.
    12. Compton, Janice & Pollak, Robert A., 2014. "Family proximity, childcare, and women’s labor force attachment," Journal of Urban Economics, Elsevier, vol. 79(C), pages 72-90.
    13. Carlianne Patrick & Heather Stephens & Amanda Weinstein, 2016. "Where are all the self-employed women? Push and pull factors influencing female labor market decisions," Small Business Economics, Springer, vol. 46(3), pages 365-390, March.
    14. Tessa Conroy & Stephan Weiler, 2016. "Does gender matter for job creation? Business ownership and employment growth," Small Business Economics, Springer, vol. 47(2), pages 397-419, August.
    15. Ghani,Syed Ejaz & Grover,Arti & Kerr,Sari & Kerr,William Robert, 2016. "Will market competition trump gender discrimination in India ?," Policy Research Working Paper Series 7814, The World Bank.
    16. Johnson, William R., 2014. "House prices and female labor force participation," Journal of Urban Economics, Elsevier, vol. 82(C), pages 1-11.
    17. Black, Dan A. & Kolesnikova, Natalia & Taylor, Lowell J., 2014. "Why do so few women work in New York (and so many in Minneapolis)? Labor supply of married women across US cities," Journal of Urban Economics, Elsevier, vol. 79(C), pages 59-71.

    More about this item

    Keywords

    agglomeration; female entrepreneurship; spatial mismatch;

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General

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