Entrepreneurship and the Policy Environment

Federal Reserve Bank of St Louis Review, Vol. 88, No. 2, 2006

Posted: 3 Aug 2006

See all articles by Yannis Georgellis

Yannis Georgellis

University of Kent

Howard J. Wall

Lindenwood University - Center for Economics and the Environment

Multiple version iconThere are 2 versions of this paper

Abstract

This paper uses a spatial panel approach to examine the effect of the government-policy environment on the level of entrepreneurship. Specifically, we investigate whether marginal income tax rates and bankruptcy exemptions influence rates of entrepreneurship. Whereas previous work in the literature finds that both policies are positively related to entrepreneurship, we find non-monotonic relationships. Specifically, we find a U-shaped relationship between marginal tax rates and entrepreneurship and an S-shaped relationship between bankruptcy exemptions and entrepreneurship.

Keywords: Entrepreneurship, self-employment

JEL Classification: J23, R12

Suggested Citation

Georgellis, Yannis and Wall, Howard J., Entrepreneurship and the Policy Environment. Federal Reserve Bank of St Louis Review, Vol. 88, No. 2, 2006. Available at SSRN: https://ssrn.com/abstract=921026 or http://dx.doi.org/10.2139/ssrn.363640

Yannis Georgellis

University of Kent ( email )

Canterbury, Kent CT2 7PE
United Kingdom

Howard J. Wall (Contact Author)

Lindenwood University - Center for Economics and the Environment ( email )

209 S. Kingshighway
St. Charles, MO 63301
United States

Register to save articles to
your library

Register

Paper statistics

Abstract Views
570
PlumX Metrics