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Entrepreneurship and Public Policy

  • Henrekson, Magnus

    ()

    (Research Institute of Industrial Economics (IFN))

  • Stenkula, Mikael

    ()

    (Research Institute of Industrial Economics (IFN))

Public policy is currently shifting from SME policy towards entrepreneurship policy, which supports entrepreneurship without directing attention to quantitative goals and specific firms or employment groups. The institutional framework set by public policy affects the prevalence and performance of both productive entrepreneurship and so-called high-impact entrepreneurship in turn. Although varying contexts and economic systems make prescribing a general panacea impossible, a number of relevant policy areas are identified and analyzed. Independent of environment, productive entrepreneurship should be rewarded and unproductive entrepreneurship should be discouraged. Successful ventures must also have the incentive to continue renewing themselves just as it must be easy to start and expand a business. In particular, we analyze regulatory entry and growth barriers, labor market regulation, liquidity constraints and tax policy at length.

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Paper provided by Research Institute of Industrial Economics in its series Working Paper Series with number 804.

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Length: 54 pages
Date of creation: 18 Aug 2009
Date of revision:
Publication status: Published in Handbook of Entrepreneurship Research, Acs, Zoltan J., Audretsch, David B. (eds.), 2010, chapter 21, pages 595-637, Springer.
Handle: RePEc:hhs:iuiwop:0804
Contact details of provider: Postal: Research Institute of Industrial Economics, Box 55665, SE-102 15 Stockholm, Sweden
Phone: +46 8 665 4500
Fax: +46 8 665 4599
Web page: http://www.ifn.se/
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