This paper estimates an unobserved components model to explore the macro dynamics of entrepreneurship in Spain and the … US. We ask whether entrepreneurship exhibits hysteresis, defined as a macro dynamic structure in which cyclical … fluctuations have persistent effects on the natural rate of entrepreneurship. We find evidence of hysteresis in Spain, but not the …

enter entrepreneurship, we find that the conventional practice of conflating different industry types in empirical analyses … of transitions to entrepreneurship generates misleading findings about the determinants of entrepreneurship. …