Empirical evidence suggests that entrepreneurs make mistakes: too many enter markets and, once there, persist too long … mistakes may also arise from a process in which entrepreneurs continually learn about their prospects, and make entry and exit …-entry learning and can be directed to analyze Bayesian rational or biased entrepreneurs. The model suggests that, to outside …

positive for would-be entrepreneurs, in contrast to correlations in the data or uninstrumented estimates. Using firm data, we … also investigate how the newly insurance-induced entrepreneurs fare relative to their uninsured peers. Results suggest that …