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on Entrepreneurship |
| By: | Alexander S. Kritikos; Mika Maliranta; Veera Nippala; Satu Nurmi |
| Abstract: | We examine how the gender of business-owners is related to the wages paid to female relative to male employees working in their firms. Using Finnish register data and employing firm fixed effects, we find that the gender pay gap is – starting from a gender pay gap of 11 to 12 percent - two to three percentage-points lower for hourly wages in female-owned firms than in maleowned firms. Results are robust to how the wage is measured, as well as to various further robustness checks. More importantly, we find substantial differences between industries. While, for instance, in the manufacturing sector, the gender of the owner plays no role for the gender pay gap, in several service sector industries, like ICT or business services, no or a negligible gender pay gap can be found, but only when firms are led by female business owners. Businesses in male ownership maintain a gender pay gap of around 10 percent also in the latter industries. With increasing firm size, the influence of the gender of the owner, however, fades. In large firms, it seems that others – firm managers – determine wages and no differences in the pay gap are observed between male- and female-owned firms. |
| Keywords: | Entrepreneurship, Gender Pay Gap, Discrimination, Linked employeremployee data |
| JEL: | J16 J24 J31 J71 L26 M13 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp2079&r= |
| By: | Diegmann, André; Pohlan, Laura; Weber, Andrea |
| Abstract: | We study how connections to German federal parliamentarians affect firm dynamics by constructing a novel dataset to measure connections between politicians and the universe of firms. To identify the causal effect of access to political power, we exploit (i) new appointments to the company leadership team and (ii) discontinuities around the marginal seat of party election lists. Our results reveal that connections lead to reductions in firm exits, gradual increases in employment growth without improvements in productivity. The economic effects are mediated by better credit ratings while access to subsidies or procurement contracts are documented to be of lower importance. |
| Keywords: | firm performance, identification, political connections, politicians |
| JEL: | D72 L25 O43 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:iwhdps:296476&r= |
| By: | Raffi E. Garcia; Alberto Ortega |
| Abstract: | We examine the impact of local racial demonstrations, such as Black Lives Matter (BLM) protests, and the subsequent racial justice movement following the death of George Floyd on racial disparities in Paycheck Protection Program loan disbursements to small businesses. Using difference-in-differences and event-study methodologies, we find that local racial protests improved credit access for Black business owners. Additionally, the increased social media and public attention following Floyd's death affected the public perception of racial equity issues, resulting in a positive moderating effect on the loan amounts distributed to Black owners relative to other racial-ethnic groups. Our findings indicate that both implicit and explicit racial bias decreased after Floyd’s death, including finance occupations. |
| JEL: | G20 G28 G40 J15 J7 L26 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32477&r= |
| By: | David Aristei; Manuela Gallo; Raoul Minetti |
| Abstract: | This study provides first empirical evidence on the impact of entrepreneurs' financial knowledge on borrower discouragement. Using novel survey data on Italian micro-enterprises, we find that less financially knowledgeable entrepreneurs are more likely to be discouraged from applying for new financing, due to higher application costs and expected rejection. Our main results are robust to several sensitivity checks, including accounting for potential endogeneity. Furthermore, we show that the observed self-rationing mechanism is rather inefficient, suggesting that financial knowledge might play a key role in reducing credit market imperfections. |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2405.05891&r= |
| By: | Annamaria Fiore; Stefano Marastoni |
| Abstract: | This report examines the opportunities the local and regional policies offer to aid innovative entrepreneurships, focusing on the Apulian region. Through empirical observations and analysis, it specifically describes the Start Cup Puglia (SCP), the competition organized annually by ARTI. The competition incentivizes innovative business plans with high-knowledge content, offering project support, technical assistance, and business development services. The report concludes addressing policy recommendations, such as promoting startups as links between scientific knowledge and traditional production, fostering alliances, facilitating financing and market access, and enhancing digital platforms for team building. |
| Date: | 2024–05–23 |
| URL: | https://d.repec.org/n?u=RePEc:awg:insrep:ir12&r= |
| By: | Tasso Adamopoulos; Diego Restuccia |
| Abstract: | We present an introduction to the Symposium on Misallocation and Structural Transformation. |
| Keywords: | Productivity, misallocation, structural transformation, employment, human capital, business dynamism, firm size, migration. |
| JEL: | O4 |
| Date: | 2024–05–31 |
| URL: | https://d.repec.org/n?u=RePEc:tor:tecipa:tecipa-777&r= |