Entrepreneurial Reward and Firm Birth Rate

The aim of the present paper is to show that entrepreneurial caliber and firm birth rate (start-ups) are very highly positively related and thus can be used alternatively as indicators for entrepreneurial talent. This fact enables researchers to use either of these above two indicators according to the availability of data. Our panel data sample covers annually the following countries: Belgium, Finland, France, Germany, Greece, Italy, Netherlands, Portugal, Spain and UK for the period (2004-2006), the countries Ireland, Norway and Sweden for the period (2004-2005) and the United Stated for the period (1980-2006). Data for Europe are taken from Eurostat, while for the United States are kindly offered by the United States Census Bureau