Who are China's Entrepreneurs?
London School of Economics & Political Science (LSE); Peter G. Peterson Institute for International Economics
Tsinghua University - School of Economics & Management; Centre for Economic Policy Research (CEPR)
University of California, Berkeley - Department of Economics; Centre for Economic Policy Research (CEPR)
Paris School of Economics
It has been increasingly recognized that entrepreneurs play a crucial role in successful economies. Yet research on entrepreneurs is rather limited. In this paper we study 414 Chinese entrepreneurs and 561 Chinese non-entrepreneurs with similar age and education characteristics. We find that entrepreneurs differ strongly from non-entrepreneurs in their attitude towards risk and their work-leisure preferences, echoing Schumpeter. Entrepreneurs are much more likely to have family members who were entrepreneurs as well as childhood friends who became entrepreneurs. Finally, failed entrepreneurs score the worst on aptitude tests yet have the best self-reported performance in school.
Number of Pages in PDF File: 9
Keywords: China, entrepreneurs
JEL Classification: M13, P50
Date posted: March 29, 2006