Being a "jack-of-all-trades" increases the probability of running an entrepreneurial venture successfully; but what happens to "jack-of-few-trades" who lack sufficient skills? This paper investigates a possible compensation mechanism between balanced skills and cities, and how this compensatory...

Often, a person will become an entrepreneur only after a period of dependent employment, suggesting that occupational choices precede entrepreneurial choices. We investigate the relationship between occupational choice and self-employment. The findings suggest that the occupational choice of...

We investigate the role of industry and region-specific conditions for the survival of new businesses in innovative and in other manufacturing industries. The data comprises all German manufacturing start-ups of the 1992 to 2005 period. In contrast to studies for some other countries, we find...

We suggest that procedures of monetarized bidding can facilitate co-operation in Elinor Ostrom type common(s) projects without crowding out communitarian faculties of "self-governance". Axioms securing procedurally egalitarian bidding on the basis of declared monetary evaluations are introduced....

Previous research on market economies characterized by stable framework conditions shows that several regional factors determine start-up activity. Not much is known about what drives entrepreneurship in unstable environments characterized by significant institutional changes that affect the...

Bounded rationality questions backward induction, which however, does not exclude such reasoning when anticipation is easy. In our stochastic (alternating offer) bargaining experiment, there is a certain first-period pie and a known finite deadline. What is uncertain (except for the final...

This paper reports an experiment designed to elicit social preferences over income compensation schemes, where income differences between subjects have two independent components: one due to chosen effort and the other due to random chance. These differences can be compensated through social...

Concessions try to avoid conflict in bargaining and can finally lead to an agreement. Although they usually are seen as unfolding in time, concessions can also be studied in normal form or by conditioning only on failure of earlier agreement attempts. We experimentally compare three protocols of...

This study is directly motivated by the results of Eckartz et al (2012). Subjects exerted suprisingly high efforts irrespectively of how they were compensated. This paper discusses a number of potential explanations and then it will focus on two of them: first, subjects might exert effort simply...

In many different contexts individuals take decisions on the behalf of others. However, little is known about how this circumstance affects the decision making process and influences the ultimate individuals' choices. In this paper, we focus on the context of investment decisions and study if...