A replication of ‘Entry regulation and entrepreneurship: a natural experiment in German craftsmanship’

Petrik Runst (), Jörg Thomä, Katarzyna Haverkamp and Klaus Müller
Additional contact information
Petrik Runst: University of Göttingen
Jörg Thomä: University of Göttingen
Katarzyna Haverkamp: University of Göttingen
Klaus Müller: University of Göttingen

Empirical Economics, 2019, vol. 56, issue 6, No 15, 2225-2252

Abstract: Abstract Rostam-Afschar (Empir Econ 47:1067–1101, 2014) analyzes the impact of the deregulation of the German Trade and Crafts Code of 2004 on entrepreneurial activity, using German microcensus (MC) data. He finds a uniform positive effect on market entry in partially and fully deregulated trades and no change in exit probabilities. We replicate and extend this study. Most importantly, we generate a novel classification scheme that aims to achieve an improved identification of crafts trades in the microcensus. It is necessary to remove non-craftsmen from the analysis as the policy change exclusively pertains to the crafts sector. In contrast to Rostam-Afschar’s findings, the increase in self-employment and entry is more pronounced in the completely deregulated B1-trades rather than the partially deregulated A-trades. In addition, exit probabilities in fully deregulated trades do not remain constant but rather increase.

Keywords: Entrepreneurship; Regulation; Craftsmanship; Replication; Microcensus (search for similar items in EconPapers)
JEL-codes: I28 J24 L51 M13 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://link.springer.com/10.1007/s00181-018-1457-0 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:empeco:v:56:y:2019:i:6:d:10.1007_s00181-018-1457-0

Ordering information: This journal article can be ordered from
http://www.springer. ... rics/journal/181/PS2

DOI: 10.1007/s00181-018-1457-0

Access Statistics for this article

Empirical Economics is currently edited by Robert M. Kunst, Arthur H.O. van Soest, Bertrand Candelon, Subal C. Kumbhakar and Joakim Westerlund

More articles in Empirical Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().