Can oil-rich countries encourage entrepreneurship? 'yes', 'no' but not 'perhaps'

Arbeitspapier

This study provides the first empirical investigation to test one of transmission channels of resource curse, i.e., marginalized entrepreneurship activities. Our panel data analysis of 65 countries from 2004 to 2011 shows a negative and statistically significant association between oil rents dependency and entrepreneurship indicator. This finding is robust to control of other major drivers of entrepreneurship, unobservable country and time fixed effects and a different measurement of oil rents dependency. Additionally our main results show that government effectiveness among other dimensions of good governance has a statistically significant moderating effect in entrepreneurship-oil rents nexus.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: MAGKS Joint Discussion Paper Series in Economics ; No. 06-2014

Classification and Topics

• Classification: Wirtschaft ; Economic Development: Agriculture; Natural Resources; Energy; Environment; Other Primary Products ; Exhaustible Resources and Economic Development ; New Firms; Startups
• Subject: resource curse ; oil rents ; entrepreneurship ; governance ; business formation

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Farzanegan, Mohammad Reza
• Event: Veröffentlichung
• (who): Philipps-University Marburg, Faculty of Business Administration and Economics
• (where): Marburg
• (when): 2014

Further information

• Handle: http://hdl.handle.net/10419/95880
• Last update: 10.03.2025, 11:42 AM CET