Unemployment as a factor of entrepreneurial activity

Sebastian Șipoș-Gug ()
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Sebastian Șipoș-Gug: University of Oradea, Faculty of Economics

Romanian Economic Journal, 2012, vol. 15, issue 46bis, 169-186

Abstract: We aim to investigate the nature and direction of the relationship between unemployment and entrepreneurial activity. Our research, using monthly data from Romania (1991-2012), brings evidence to the hypothesis that the relationship is non-linear in regard to the temporal delay factor. From our data it would seem that unemployment and entrepreneurial activity are negatively related on the short term, and positively related on the long term. Based on these results, we propose that the two effects be treated separately, and we propose two predictive models of entrepreneurial activity based on unemployment that follow this distinction.

Keywords: Romania; entrepreneurship; unemployment rate; company birth rate; predictive model (search for similar items in EconPapers)
JEL-codes: J60 L26 (search for similar items in EconPapers)
Date: 2012
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Persistent link: https://EconPapers.repec.org/RePEc:rej:journl:v:15:y:2012:i:46bis:p:169-186

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