High Growth Entrepreneurs, Public Policies and Economic Growth

28 Pages Posted: 5 Oct 2007 Last revised: 29 Sep 2013

See all articles by Erik Stam

Erik Stam

Utrecht University - School of Economics; Utrecht University - Tjalling C. Koopmans Research Institute

Kashifa Suddle

EIM Netherlands - Business and Policy Research

Jolanda Hessels

Erasmus University Rotterdam (EUR) - Erasmus School of Economics (ESE)

Andre J. van Stel

Max Planck Society for the Advancement of the Sciences - Max Planck Institute for Economics

Abstract

This paper investigates whether the presence of ambitious entrepreneurs is a more important determinant of national economic growth than entrepreneurial activity in general. We use data from the Global Entrepreneurship Monitor to test the extent to which high growth ambitions of entrepreneurs affect GDP growth for a sample of 36 countries. Our results suggest that ambitious entrepreneurship contributes more strongly to macro-economic growth than entrepreneurial activity in general. We find a particularly strong effect of high-expectation entrepreneurship for transition countries. These results are interpreted in light of the ongoing debate about public policies designed to stimulate high growth start-ups.

Keywords: entrepreneurial activity, high growth entrepreneurs, growth ambitions, high growth start-ups, public policy, economic growth

JEL Classification: L16, L21, M13, O11, O40, O57

Suggested Citation

Stam, Erik and Suddle, Kashifa and Hessels, Jolanda and van Stel, Andre J., High Growth Entrepreneurs, Public Policies and Economic Growth. Jena Economic Research Paper No. 2007-019; Hudson Institute Research Paper No. 08-02. Available at SSRN: https://ssrn.com/abstract=1019429 or http://dx.doi.org/10.2139/ssrn.1019429

Erik Stam (Contact Author)

Utrecht University - School of Economics ( email )

Kriekenpitplein 21-22
Adam Smith Building
Utrecht, +31 30 253 7373 3584 EC
Netherlands

Utrecht University - Tjalling C. Koopmans Research Institute ( email )

Adam Smith Building
Kriekenpitplein 21-22
Utrecht, 3584 EC
Netherlands

Kashifa Suddle

EIM Netherlands - Business and Policy Research

Postbus 7001
2701 AA Zoetermeer
Netherlands

Jolanda Hessels

Erasmus University Rotterdam (EUR) - Erasmus School of Economics (ESE) ( email )

P.O. Box 1738
3000 DR Rotterdam, NL 3062 PA
Netherlands

Andre J. Van Stel

Max Planck Society for the Advancement of the Sciences - Max Planck Institute for Economics ( email )

Kahlaische Strasse 10
D-07745 Jena, 07745
Germany

Register to save articles to
your library

Register

Paper statistics

Downloads
553
Abstract Views
2,154
rank
48,440
PlumX Metrics