The link between measured risk aversion and the decision to become an entrepreneur iswell established, but the link between risk preferences and entrepreneurial success is not.Standard theoretical models of occupational choice under uncertainty imply a positivecorrelation between an...

Entrepreneurship is a hot topic both in academic and policy circles.1 There is a growingrecognition that entrepreneurship is a driving force in economic growth and development in bothestablished and emerging economies. There is also an increasing body of evidence suggestingentrepreneurship that...

We introduce a taxonomy that classifies industries using three criteria: net growth in thenumber of firms; the interrelationship between firm entry and firm exit; and the degree of urbanbiasin industry growth. We show that in 9 of 15 two-digit NAICS industries investigated, thereis evidence of...

This study analyzes whether economic conditions at the time of labor market entry affect entrepreneurship, using difference in business start-ups between cohorts of college students graduating in boom or bust economic conditions. Those graduating during an economic bust tend to delay their...

This paper uses the pattern of firm entry and exit to develop a classification system forindustries. The classifications include urbanruralbias; longtermgrowth; and firm survivalpatterns. The first captures the fact that sectorspecificeconomic growth may be favored inurban areas for some...

By allowing agents to switch from entrepreneurship to wage work and vice versa over the life cycle, this study proposes a dynamic Jacks-of-All-Trades (JAT) model where entrepreneurs invest in highly varied skills to manage their business. We simultaneously endogenize human capital investment and...

The fraction of self-employed rises in recessions because wage work is more sensitive than self-employment to the business cycle, not because of necessity entrepreneurship. Graduating during a recession reduces the probability of starting a business for the next 11 years.