Entrepreneurship in a Unionised Economy

Mikko Leppämäki and Vesa Kanniainen

No 379, CESifo Working Paper Series from CESifo

Abstract: This paper shows that labor market institutions are important for the formation of new enterprises. The effects of labor market institutions on entrepreneurship, wage determination, and firm size are analysed analytically and illustrated numerically. The main result is that an increase in union power reduces the equilibrium rate of entrepreneurship and reduces the average size of enterprises.

Keywords: Entrepreneurship; labor market institutions; occupational choice; unions (search for similar items in EconPapers)
JEL-codes: J23 J24 J51 M13 (search for similar items in EconPapers)
Date: 2000
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Related works:
Working Paper: Entrepreneurship in a Unionised Economy (2000)
Working Paper: Entrepreneurship in a Unionised Economy (2000)
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Persistent link: https://EconPapers.repec.org/RePEc:ces:ceswps:_379

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