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Entrepreneurship at Country Level : Economic and Non-Economic Determinants

  • Sander Wennekers
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    This book investigates the rate of occupational entrepreneurship at country level, either measured by the number of business owners as a percentage of the labor force, or by some metric of the dynamics of entrepreneurship such as 'nascent entrepreneurship' and new business start-ups. Historical case studies set the stage for a multidisciplinary framework for explaining the rate of entrepreneurship. Based upon several strands of literature, this framework is built around an occupational choice model while linking the individual, the firm and the aggregate level. Technological, economic, demographic, cultural and institutional factors act as entrepreneurial framework conditions. In addition, feedback mechanisms are elaborated. Empirical investigations carried out against the background of this framework show that dissatisfaction, uncertainty avoidance and social security entitlements affect the rate of entrepreneurship. In addition, either a negative or a U-shaped influence of the level of economic development is found, while dummy variables for recent decades suggest a positive impact of global trends such as the ICT revolution, deregulation and the onset of a 'network economy'.

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    File URL: http://www.entrepreneurship-sme.eu/pdf-ez/R200602.pdf
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    Paper provided by EIM Business and Policy Research in its series Scales Research Reports with number R200602.

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    Length: 235 pages
    Date of creation: 15 Sep 2006
    Date of revision:
    Handle: RePEc:eim:papers:r200602
    Contact details of provider: Postal: P.O. Box 7001, 2701 AA Zoetermeer
    Phone: (+31) 79 341 36 34
    Fax: (+31) 79 341 50 24
    Web page: http://www.entrepreneurship-sme.eu/
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    1. de Wit, Gerrit, 1993. " Models of Self-Employment in a Competitive Market," Journal of Economic Surveys, Wiley Blackwell, vol. 7(4), pages 367-97, December.
    2. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth through Creative Destruction," Econometrica, Econometric Society, vol. 60(2), pages 323-51, March.
    3. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth Through Creative Destruction," Scholarly Articles 12490578, Harvard University Department of Economics.
    4. Yamada, Gustavo, 1996. "Urban Informal Employment and Self-Employment in Developing Countries: Theory and Evidence," Economic Development and Cultural Change, University of Chicago Press, vol. 44(2), pages 289-314, January.
    5. Zoltan Acs & David Storey, 2004. "Introduction: Entrepreneurship and Economic Development," Regional Studies, Taylor & Francis Journals, vol. 38(8), pages 871-877.
    6. Audretsch, David B & Feldman, Maryann P, 1996. "R&D Spillovers and the Geography of Innovation and Production," American Economic Review, American Economic Association, vol. 86(3), pages 630-40, June.
    7. Audretsch, David B & Stephan, Paula E, 1996. "Company-Scientist Locational Links: The Case of Biotechnology," American Economic Review, American Economic Association, vol. 86(3), pages 641-52, June.
    8. David Audretsch & Michael Fritsch, 2002. "Growth Regimes over Time and Space," Regional Studies, Taylor & Francis Journals, vol. 36(2), pages 113-124.
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