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on Entrepreneurship |
| By: | Rosa Sanchis-Guarner (Universitat de Barcelona & IEB); Nikodem Szumilo (University College London); Antoine Vernet (University College London) |
| Abstract: | We study the impact of improved rail access on entrepreneurship rates in England and Wales. We use data from the Census spanning 2001, 2011, and 2021 to analyse self-employment rates in granular geographic areas of around 200 residents. Specifically, we study how they respond to changes in the distance to the nearest train station occurring due to 56 new station openings. We find that all else equal, moving 1 km further away from a station reduces self-employment rates by 0.12 percentage points, with the effect dissipating beyond 7 km. Secondary results suggest that access to rail makes it easier to become self-employed while not making it more attractive compared to employment. Our findings suggest that rail infrastructure improvements can support local entrepreneurship and economic activity, contributing to regional development and reducing economic inequality. |
| Keywords: | Entrepreneurship, Rail, Self-employment |
| JEL: | L26 R11 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:ieb:wpaper:doc2024-11 |
| By: | Yang, Xiaoliang (Zhongnan University of Economics and Law); Zhou, Peng (Cardiff Business School); Dong, Xue |
| Abstract: | This paper investigates the long-run nexus between wealth inequality and aggregate output using a DSGE model in which wealth inequality endogenously affects individual entrepreneurship incentives, thereby influencing aggregate output. Our model passes the indirect inference test against the UK data from 1870 to 2015. We find that shocks to aggregate TFP, entrepreneurial barriers, government grant support and general government spending played significant roles in shaping historical inequality dynamics in the UK. Directly removing entrepreneurial barriers or indirectly providing government grant support to the private sector such as through inclusive loan subsidies are effective means of reducing inequality and stimulating output growth. |
| Keywords: | Wealth Inequality, Aggregate Output, Entrepreneurship, Indirect Inference |
| JEL: | C72 C92 D83 |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:cdf:wpaper:2025/1 |
| By: | Radhicka Kapoor (Indian Council for Research on International Economic Relations (ICRIER)) |
| Abstract: | Women entrepreneurship is a key driver of economic inclusion and growth. There are several government programmes available to enable entrepreneurship in India, some are dedicated programmes for women-led enterprises. However, several challenges remain with respect to access to finances, markets, technology and skills. In this policy brief, we recognise that there is significant scope to leverage the digital advancements made by India to address the challenges faced by women entrepreneurs in accessing finance, skills, networks and markets, thereby unshackling the potential of women entrepreneurship. While male entrepreneurs too, stand to gain from these advances, for women entrepreneurs they can prove to be particularly beneficial as they help alleviate several barriers which emanate from restrictive norms that are deep-rooted in society. |
| Keywords: | women entrepreneurship, digital technology, finance, market access, icrier |
| Date: | 2024–10 |
| URL: | https://d.repec.org/n?u=RePEc:bdc:ppaper:27 |
| By: | Chaikal Nuryakin; Izyan Pijar Bungabangsa Satyagraha; Ratu Silfa Addiba Nursahla (Institute for Economic and Social Research, Faculty of Economics and Business, Universitas Indonesia (LPEM FEB UI)) |
| Abstract: | Micro, small, and medium enterprises (MSMEs) hold significant economic potential, for a potential contribution of over 55% to GDP, and employ more than 90% of the workforce (WTO, 2016). Recognizing their role in economic growth, poverty reduction, export, and job creation, the Indonesian government has prioritized MSMEs in its National Development Plan. However, a disproportionate number of MSMEs remain micro and small, hindering broader economic benefits. Innovation is proposed as a critical driver for the growth and scaling up of Micro and Small Enterprises (MSEs). This paper explores the relationship between innovation and business growth, identifies significant challenges and drivers of innovation, and draws on international best practices. We delve into several vital obstacles, such as financial constraints, inadequate copyright protection, and limited access to skilled talent that impede MSEs’ innovation and R&D capabilities. Also, we reviewed some strategies to overcome these challenges, including fostering research collaborations, implementing innovation programs, supportive government policies, and providing intellectual property rights (IPR) to MSEs. |
| Keywords: | MSMEs — innovation — scale-up |
| JEL: | F35 H81 O19 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:lpe:wpaper:202479 |
| By: | Kirui, Oliver K.; Siddig, Khalid; Fisher, Monica; Cavicchioli, Martina; Chamberlin, Jordan |
| Abstract: | The current conflict between the Sudanese Armed Forces and the Rapid Support Forces in Sudan, which began in April 2023, has had a profound impact on the nation’s micro, small, and medium enterprises (MSME). Such enterprises are a vital part of the country’s economy and important to the food security of many Sudanese households. All MSMEs, including those in the agrifood sector, have faced severe disruptions due to the instability, rising inflation, and supply chain breakdowns brought on by the conflict. These challenges have destabilized MSMEs, affecting their financial viability, operations, and capacity to support local food security and provide employment. Agrifood MSMEs, in particular, serve as critical intermediaries between large firms and smallholders, supporting local economies and national food systems.2 The conflict has disrupted every aspect of agrifood value chains in Sudan, from input supplies and production to market accessibility. Agrifood entrepreneurs—especially women—have borne some of the heaviest impacts. Female entrepreneurs already face significant gender-based barriers in operating successful businesses, such as more limited access to finance, restrictive social norms, and mobility constraints. In this period of conflict, they now confront even greater challenges. |
| Keywords: | enterprises; conflicts; food security; food supply chains; economics; gender; Africa; Northern Africa; Sudan |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:sssppn:9 |
| By: | John Sebastian Tobar-Cruz; Carlos Alberto Ruiz-Martínez |
| Abstract: | Este trabajo explora la relación entre el acceso al crédito y la formalización y el crecimiento de los micronegocios en Colombia. Se utilizan datos de la Encuesta a Micronegocios (EMICRON) del DANE para el periodo 2019-2022, junto con la metodología de Propensity Score Matching y modelos de elección binaria para examinar esta interacción. Los resultados destacan que el acceso al crédito se relaciona de manera positiva y significativa con el crecimiento y la formalización de los micronegocios en las cuatro dimensiones estudiadas: entrada, insumos, producción y tributaria. El análisis incluye una distinción entre créditos otorgados por entidades formales e informales, revelando que los micronegocios con acceso a crédito formal presentan una mayor propensión a la formalización y un crecimiento más pronunciado en comparación con aquellos que acceden a crédito a través de entidades informales. Además, al examinar según el sexo del propietario/a, los micronegocios liderados por mujeres con acceso a crédito formal logran mejores resultados en formalización y crecimiento que los liderados por hombres. Por último, el análisis a nivel departamental revela notables variaciones en los resultados, destacando las disparidades económicas y sociales entre las diversas áreas del país. **** ABSTRACT: This paper explores the relationship between access to finance and the formalization and growth of microbusinesses in Colombia. The study utilizes data from the DANE Microbusiness Survey (EMICRON) for the 2019-2022 period, applying the Propensity Score Matching method alongside binary choice models to analyze this relationship. The findings underscore that access to credit is positively and significantly related to the growth and formalization of these businesses across the four dimensions studied: entry, inputs, production, and taxation. The analysis includes a distinction between financing provided by formal and informal entities, revealing that microbusinesses with access to formal credit exhibit a higher propensity for formalization and achieve more pronounced growth compared to those reliant on informal credit sources. Furthermore, when analyzing by the owner's gender, microbusinesses led by women with access to formal credit demonstrate superior outcomes in formalization and growth compared to those led by men. Finally, the regional-level analyses reveal significant variations in the results, underscoring the economic and social disparities across Colombia's diverse regions. |
| Keywords: | Acceso a crédito, micronegocios, formalización y crecimiento empresarial, crédito formal/informal, género, análisis departamental, Credit access, microbusiness, formalization and business growth, formal and informal credit, gender, regional level |
| JEL: | G21 J16 O16 O17 R11 |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:bdr:borrec:1302 |