Party platforms and entrepreneurial pathways: Exploring the impact of political parties on venture formation

Cameron Borgholthaus, Jeffrey Cavanaugh and Joshua V. White

Journal of Small Business Management, 2025, vol. 63, issue 6, 2688-2720

Abstract: Political institutions meaningfully shape entrepreneurial outcomes. In the present study, we explore how the legislative partisanship of U.S. states, which we define as the concentration of political power across legislative branches of government, influences entrepreneurial activity. We contend that states led by Republican governors and legislatures will experience elevated levels of new venture formation. Moreover, we argue that this effect becomes stronger as the political power held by the Republican Party increases. We further suggest that economic freedom strengthens the relationships between both Republican governors and legislatures and new venture outcomes. Contrary to our primary theorizing, our results demonstrate that Democratic governors are linked to a higher number of new ventures formed. However, we find support for our remaining four hypotheses. Overall, we offer novel theoretical contributions to research on political institutions and entrepreneurship, as well as political science.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/00472778.2024.2448974 (text/html)
Access to full text is restricted to subscribers.

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:taf:ujbmxx:v:63:y:2025:i:6:p:2688-2720

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/ujbm20

DOI: 10.1080/00472778.2024.2448974

Access Statistics for this article

Journal of Small Business Management is currently edited by Eric Liguori

More articles in Journal of Small Business Management from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().