Unemployment Benefits Crowd Out Nascent Entrepreneurial Activity

Philipp Koellinger and Maria Minniti

ERIM Report Series Research in Management from Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam

Abstract: Analyzing a cross-country panel of 16 OECD countries from 2002 to 2005, we find that higher unemployment benefits crowd out nascent entrepreneurial activity. Our results hold regardless of entrepreneurial motivation (necessity or opportunity) and entrepreneurial type (imitative or innovative).

Keywords: business startups; entrepreneurship; unemployment benefits (search for similar items in EconPapers)
JEL-codes: J65 M M13 O32 (search for similar items in EconPapers)
Date: 2008-03-25
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Journal Article: Unemployment benefits crowd out nascent entrepreneurial activity (2009)
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