IQ and Entrepreneurship: International Evidence

36 Pages Posted: 14 May 2012

See all articles by Garett Jones

Garett Jones

George Mason University - Department of Economics; George Mason University - Mercatus Center

Rik W. Hafer

Plaster School of Business

Date Written: May 14, 2012

Abstract

National measures of cognitive skill, including IQ tests, have received attention recently as a possible driver of cross-country productivity differences. In a parallel literature, national measures of entrepreneurial activity and pro-entrepreneurship policies have received similar attention. This paper is the first to demonstrate that higher national average IQ reliably predicts higher ratings for the Acs-Szerb Global Entrepreneurship Development Index (GEDI). Results hold after controlling for GDP, education levels, inequality, broad economic freedom indices, and other factors. Microfounded explanations for these results are considered.

Keywords: entrepreneurship, human capital, intelligence, IQ

JEL Classification: L26, E24, J24

Suggested Citation

Jones, Garett and Hafer, Rik W., IQ and Entrepreneurship: International Evidence (May 14, 2012). GMU Working Paper in Economics No. 12-19, Available at SSRN: https://ssrn.com/abstract=2057396 or http://dx.doi.org/10.2139/ssrn.2057396

Garett Jones (Contact Author)

George Mason University - Department of Economics ( email )

4400 University Drive
Fairfax, VA 22030
United States

HOME PAGE: http://economics.gmu.edu/people/gjonesb

George Mason University - Mercatus Center ( email )

3434 Washington Blvd., 4th Floor
Arlington, VA 22201
United States

Rik W. Hafer

Plaster School of Business ( email )

St. Charles, MO
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
210
Abstract Views
1,283
rank
176,739
PlumX Metrics