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On the role of human capital and instruments of assistance for rural entrepeneurship and development: evidence from a case study in mountainous Italy

  • Nicola Meccheri
  • Gianluigi Pelloni

Fostering entrepreneurship as a tool for the creation and support of rural businesses is a crucial goal for the integrated development and survival of rural economies. Despite the recognition of entrepreneurship as one of the main determinants of rural economic development, empirical research in this field is relatively sparse and the concept of rural entrepreneurship remains largely unexplored. Thus, there is little evidence on the role and function of rural entrepreneurs, the driving force behind the birth, survival and growth of rural enterprises. The present work, emerging from a larger project on rural entrepreneurship in the mountainous areas of southern Europe, aims to provide a contribution to filling this gap in knowledge. In this paper we present and analyse the results emerging from a questionnaire submitted to a sample of 123 entrepreneurs and rural businesses in a mountainous area of central Italy. The paper focuses on the correlation between entrepreneurial human capital and the adoption of instruments of assistance, and provides an assessment on their role in stimulating entrepreneurship in the specific area. In the light of the empirical results, we examine and propose potential policies for fostering entrepreneurship and the development of the rural region under study.

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Paper provided by Department of Statistics, University of Bologna in its series Quaderni di Dipartimento with number 0.

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Date of creation: 2003
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Handle: RePEc:bot:quadip:11
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  1. James Heckman, 2011. "Policies to foster human capital," Educational Studies, Higher School of Economics, issue 3, pages 73-137.
  2. Leland, Hayne E & Pyle, David H, 1977. "Informational Asymmetries, Financial Structure, and Financial Intermediation," Journal of Finance, American Finance Association, vol. 32(2), pages 371-87, May.
  3. 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.
  4. Dimitris Skuras, Nick Tzamarias, 2000. "Job Creation by Assisted Rural Firms: a European North-South Perspective," Local Economy, Taylor and Francis Journals, vol. 15(3), pages 225-237, September.
  5. Fonseca, Raquel & Lopez-Garcia, Paloma & Pissarides, Christopher A., 2001. "Entrepreneurship, start-up costs and employment," European Economic Review, Elsevier, vol. 45(4-6), pages 692-705, May.
  6. Franz T�dtling & Herta Wanzenb�ck, 2003. "Regional differences in structural characteristics of start-ups," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 15(4), pages 351-370, October.
  7. Acemoglu, Daron, 2001. "Credit market imperfections and persistent unemployment," European Economic Review, Elsevier, vol. 45(4-6), pages 665-679, May.
  8. Skuras, Dimitris & Dimara, Efthalia & Vakrou, Aleka, 2000. " The Day after Grant-Aid: Business Development Schemes for Small Rural Firms in Lagging Areas of Greece," Small Business Economics, Springer, vol. 14(2), pages 125-36, March.
  9. Stiglitz, Joseph E & Weiss, Andrew, 1981. "Credit Rationing in Markets with Imperfect Information," American Economic Review, American Economic Association, vol. 71(3), pages 393-410, June.
  10. Jaffee, Dwight M & Russell, Thomas, 1976. "Imperfect Information, Uncertainty, and Credit Rationing," The Quarterly Journal of Economics, MIT Press, vol. 90(4), pages 651-66, November.
  11. David Smallbone & David North & Christos Kalantaridis, 1999. "Adapting to peripherality: a study of small rural manufacturing firms in northern England," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 11(2), pages 109-127, April.
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