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We estimate by means of indirect inference a structural economic model where firms' exit and investment decisions are the solution to a discrete-continuous dynamic programming problem. In the model the exit probability depends on the current capital stock and a measure of short-run...
Persistent link: https://www.econbiz.de/10013028914
The paper investigates dynamic linkages between entry and exit rates in Brazilian manufacturing in the context of 231 (4-digits) industries during the 1996-2005 period. The empirical analysis focuses on the estimation of a dynamic panel data for entry and exit rates and controls for the business...
Persistent link: https://www.econbiz.de/10013315797
This paper develops a theory of firm selection and growth and embeds it into an international trade framework of balanced growth. I assume that firm-level growth is the result of idiosyncratic productivity improvements while there is continuous arrival of new potential producers. Firms can also...
Persistent link: https://www.econbiz.de/10013316364
In many countries entrepreneurship is promoted through tax reductions for small businesses and by various government …
Persistent link: https://www.econbiz.de/10013067942
Demographic change will be one of the major challenges for economic policy in the developed world in the next decades. In this article, we analyze the relationship between age structure and the number of startups. We argue that an individual's decision to start a business is determined by his or...
Persistent link: https://www.econbiz.de/10012775851
conducive business regulations amplify the positive impact on firm creation of better education and reduced skill mismatches. To … escape a low-productivity trap, policymakers should thus create a pro-business framework and a wellfunctioning education …
Persistent link: https://www.econbiz.de/10012955283
Why do entrepreneurship rates differ so markedly by gender? Using data from a large, representative German household …-up decision and can explain the gender gap in entrepreneurship. Applying a decomposition analysis, we observe that the higher risk … aversion among women explains a large share of the entrepreneurial gender gap. We also find an education effect contributing to …
Persistent link: https://www.econbiz.de/10013052066
attempt to attract immigrant entrepreneurs. Not surprisingly, a large body of research on immigrant entrepreneurship has … fundamental immigrant entrepreneurship issues as well as the empirical methods and data used. The main themes we address are … immigrant entrepreneurs' contributions to the economy, entrepreneurship differences across groups and group differences in …
Persistent link: https://www.econbiz.de/10013023916
We study the link between homeownership, mortgage debt, and entrepreneurship using a model of occupational choice and … homeowners start a business; and (ii) the negative relation between mortgage debt and entrepreneurship is more pronounced when … income volatility is higher. Our model further predicts that the relation between housing wealth and entrepreneurship is …
Persistent link: https://www.econbiz.de/10013044547
A common finding in the entrepreneurship literature is that business creation increases in recessions. This counter …-cyclical pattern is examined by separating business creation into two components: “opportunity” and “necessity” entrepreneurship … entrepreneurship, there are many challenges to creating a definition that is both objective and empirically feasible. We propose an …
Persistent link: https://www.econbiz.de/10012924990