Barriers to Entrepreneurship - World Bank

More documents

Recommendations

Info

Data• Our primary source of firm-level data is the Amadeus databasewith information on >5 million firms in 34 European countries.• It improves upon previously used datasets in that it includes a largenumber of private firms and all industrial sectors.• We measure entry as the share of new firms, calculated at thecountry and industry level.• Proxies for natural propensity to enter and other industrycharacteristics from a variety of sources, all based on U.S. data• Proxies for entry barriers and other regulations from a variety ofsources.4
Entry Regulations HamperEntrepreneurship• We find that entry regulations hamper entrepreneurship, especiallyin industries that naturally should have high entry.• Relative entry into industries with high entry in the U.S. isdisproportionally higher in countries with low entry costs.• The effect is generally present in all countries and industries.• The results are robust to using alternative measures of the naturalpropensity to enter, including U.S. exit rates, SME shares, andaverage firm size and scale variables.• Both the availability of private (bank) credit and of trade creditaids entry in financially dependent industries.5
Page 1 and 2: Barriers to EntrepreneurshipLeora K
Page 3: Contribution• We first show that
Page 7 and 8: Are Entry BarriersSocially Harmful
Page 9 and 10: What Next ?

Barriers to Entrepreneurship - World Bank

Create successful ePaper yourself

Delete template?

Save as template?