We present first evidence how individual risk preferences shape entrepreneurial investment among the very wealthy using … standard measure of risk tolerance. We find that wealthy individuals are more likely to be entrepreneurs and invest a larger … ways strongly determined by individual risk tolerance. Since the wealthy dominate aggregate risky investment, their risk …

We present first evidence how individual risk preferences shape entrepreneurial investment among the very wealthy using … standard measure of risk tolerance. We find that wealthy individuals are more likely to be entrepreneurs and invest a larger … ways strongly determined by individual risk tolerance. Since the wealthy dominate aggregate risky investment, their risk …

Entrepreneurs tend to be risk tolerant but is more risk tolerance always better? In a sample of about 2,100 small … businesses, we find an inverted U-shaped relation between risk tolerance and profitability. This relationship holds in a simple … transmission goes from risk tolerance via investments to profits. This is quite robust as it applies for past investments as well …

into entrepreneurship, we use changes in entry regulation into skilled trades. Estimation results are consistent with the …

into entrepreneurship, we use changes in entry regulation into skilled trades. Estimation results are consistent with the …

selectioninto entrepreneurship, we use changes in entry regulation into skilled trades. Estimation results are consistent with the …

into entrepreneurship, we use changes in entry regulation into skilled trades. Estimation results are consistent with the …

entrepreneur) or to turn to dependent employment. We test our theory using a 10-year panel dataset (2001 to 2010) of more than 4 …

Do entrepreneurs consider the risk of their business equity when making investment portfolio allocations? Many people … compartmentalize different risks and consider them separately, called mental accounting. Alternatively, the risk substitution … hypothesis suggests that entrepreneurs would offset high business income risk by selecting a more conservative investment …