Arbeitspapier

Does Entrepreneurship reduce Unemployment?

In this paper, we develop two hypotheses: First, regional innovation efforts have a positive impact on regional knowledge based entrepreneurial activity. Second, knowledge based entrepreneurship positively affects regional economic performance. We test these hypotheses using county level data from West Germany, employing a structural equation model to analyze the relationships between latent variables. Our empirical analysis provides evidence supporting both hypotheses. In particular, our results suggest that innovation efforts have an indirect effect on economic performance via entrepreneurship. This indirect effect is neglected in existing empirical studies focusing on the direct effect of innovation on economic performance.

Language
Englisch

Bibliographic citation
Series: Tinbergen Institute Discussion Paper ; No. 01-074/3

Classification
Wirtschaft
Production, Pricing, and Market Structure; Size Distribution of Firms
New Firms; Startups
Macroeconomic Analyses of Economic Development
Subject
entrepreneurship
unemployment
economic development
Gibrat's Law
Entrepreneurship-Ansatz
Arbeitslosigkeit
Beschäftigungseffekt
OECD-Staaten

Event
Geistige Schöpfung
(who)
Audretsch, D.B.
Carree, M.A.
Thurik, A.R.
Event
Veröffentlichung
(who)
Tinbergen Institute
(where)
Amsterdam and Rotterdam
(when)
2001

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Arbeitspapier

Associated

  • Audretsch, D.B.
  • Carree, M.A.
  • Thurik, A.R.
  • Tinbergen Institute

Time of origin

  • 2001

Other Objects (12)