We compare, based on German data, the income of self-employed individuals with and without employees with the income of dependently employed individuals. Our results show that self-employed with employees tend to earn significantly higher incomes than their salaried counterparts, while with the...

This paper analyzes to what extent marshallian agglomeration economies affect the creation of new entrepreneurial ventures at the metropolitan level. The measuring of agglomeration economies is based on the construction of indexes using the methodology of Glaeser and Kerr (2009). The indexes...

This paper surveys the various forms of market failure that can arise when innovating entrepreneurs consider entering an industry, and outlines possible implications for public policy. Externalities can arise from entrepreneurial activities such as spillover benefits from new innovations and...