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Entrepreneurship, structural change, and economic growth


  • Florian Noseleit



The ability to adjust to structural change is vital to economic development, and entries can be active participants in this process. While the importance of factor reallocations for growth is widely accepted, the role of entrepreneurs in managing these reallocations is rarely, if ever, mentioned in the empirical growth literature. This paper analyzes the role of entrepreneurial activity for adjustments of the sectoral structure and its relevance for regional economic development. The historical framework is the accelerated economic transformation that occurred in industrialized countries during the mid 1970s, resulting in an increasing need to adjust. Based on German data from 1975 to 2002, evidence is presented that sectoral reallocations are an important means for transforming entrepreneurial activity into growth.

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  • Florian Noseleit, 2011. "Entrepreneurship, structural change, and economic growth," Papers in Evolutionary Economic Geography (PEEG) 1104, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jan 2011.
  • Handle: RePEc:egu:wpaper:1104

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    Cited by:

    1. Galindo, Miguel-Ángel & Méndez, María Teresa, 2014. "Entrepreneurship, economic growth, and innovation: Are feedback effects at work?," Journal of Business Research, Elsevier, vol. 67(5), pages 825-829.
    2. Michael Fritsch & Sandra Kublina, 2016. "Persistence and Change of Regional New Business Formation in the National League Table," Jena Economic Research Papers 2016-001, Friedrich-Schiller-University Jena.
    3. Aparicio, Sebastian & Urbano, David & Audretsch, David, 2016. "Institutional factors, opportunity entrepreneurship and economic growth: Panel data evidence," Technological Forecasting and Social Change, Elsevier, vol. 102(C), pages 45-61.
    4. Castaño, María-Soledad & Méndez, María-Teresa & Galindo, Miguel-Ángel, 2015. "The effect of social, cultural, and economic factors on entrepreneurship," Journal of Business Research, Elsevier, vol. 68(7), pages 1496-1500.
    5. Michael Fritsch, 2012. "Methods of analyzing the relationship between new business formation and regional development," Jena Economic Research Papers 2012-064, Friedrich-Schiller-University Jena.
    6. Urbano, David & Aparicio, Sebastian, 2016. "Entrepreneurship capital types and economic growth: International evidence," Technological Forecasting and Social Change, Elsevier, vol. 102(C), pages 34-44.
    7. Nicolae Mariana & Ion Irina & Nicolae Elena, 2016. "Regional differences in entrepreneurial perceptions and implications for the Romanian competitiveness policy," Management & Marketing, De Gruyter Open, vol. 11(1), pages 394-409, April.
    8. Michael Fritsch & Sandra Kublina, 2015. "Entrepreneurship,Growth, Regional Growth Regimes," Jena Economic Research Papers 2015-002, Friedrich-Schiller-University Jena.
    9. repec:elg:eechap:14395_15 is not listed on IDEAS
    10. Badulescu, Daniel & Cadar, Otilia, 2016. "Romania: Many Entrepreneurs but Few Innovators," MPRA Paper 78924, University Library of Munich, Germany.
    11. Castaño, María-Soledad & Méndez, María-Teresa & Galindo, Miguel-Ángel, 2016. "Innovation, internationalization and business-growth expectations among entrepreneurs in the services sector," Journal of Business Research, Elsevier, vol. 69(5), pages 1690-1695.
    12. Teixeira, Aurora A.C. & Queirós, Anabela S.S., 2016. "Economic growth, human capital and structural change: A dynamic panel data analysis," Research Policy, Elsevier, vol. 45(8), pages 1636-1648.
    13. repec:eee:tefoso:v:127:y:2018:i:c:p:271-280 is not listed on IDEAS
    14. Michael Fritsch & Sandra Kublina, 2016. "Related Variety, Unrelated Variety, and Regional Growth: The Role of Absorptive Capacity and Entrepreneurship," Jena Economic Research Papers 2016-009, Friedrich-Schiller-University Jena.
    15. David Urbano & Sebastian Aparicio & Victor Querol, 2016. "Social progress orientation and innovative entrepreneurship: an international analysis," Journal of Evolutionary Economics, Springer, vol. 26(5), pages 1033-1066, December.
    16. Anabela Queirós & Aurora A.C. Teixeira, 2014. "Economic growth, human capital and structural change: an empirical analysis," FEP Working Papers 549, Universidade do Porto, Faculdade de Economia do Porto.

    More about this item


    Entrepreneurship; new business formation; regional development; structural change;

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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