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Does State or Local Government Support for Small Businesses Attract Better Entrepreneurs

Halil Kaya ()
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Halil Kaya: Department of Accounting and Finance College of Business and Technology Northeastern State University Oklahoma United States, Postal: US

Journal of Advanced Research in Management, 2018, vol. 9, issue 1, 5-14

Abstract: In this study we examine the relation between government support for small businesses and owner characteristics Does government support attract certain types of entrepreneurs into an area We find that more experienced and politically more conservative entrepreneurs tend to concentrate in the high state government support score states Also there are fewer community college graduates and more technical college graduates among the owners in these states When we examine the impact of local government support we find that less experienced owners tend to concentrate more in the high local government support score states while more experienced owners tend to concentrate more in the low local government support score states We also find that more experienced entrepreneurs and more conservative people tend to concentrate in the high local government support score states Our results show that there are more owners with technical college diplomas and fewer owners with an undergraduate degree among the owners in the high score states These findings indicate that entrepreneurs with certain characteristics are more concentrated in the high government i e state or local support score states Therefore if a state or a city town wants to attract certain types of entrepreneurs into their area they can use the findings here when making their policy decisions

Date: 2018
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