Entrepreneurship and its Conditions: a Macro Perspective

Sander Wennekers · Lorraine Marie Uhlaner · Roy Thurik

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Entrepreneurship Studies and Influences Historical Economic and Social Studies Firm Innovation and Growth

Abstract

The rate of entrepreneurship, a multidimensional concept including both the\npercentage of existing business owners in the labor force as well as the start-up rate of new\nenterprises, varies substantially across countries and over periods of time. Data for several\nmodern Western nations including the United States, the United Kingdom and the Netherlands\nsuggest a U-shaped recovery in rate of entrepreneurship (as measured by business ownership)\ntoward the end of the 20th century. However, the timing, pattern and extent of this recovery vary\nsubstantially across nations. The reasons for this large variation in rate of entrepreneurship\nacross time and by country are by no means straightforward. This paper provides a framework\nexplaining the causes of the variation in rate of entrepreneurship across countries. The last part\nof the paper illustrates the framework with two historical case studies: the Dutch Golden Age of\nthe 17th century and Britain’s First Industrial Revolution (1760-1830). The approach taken is\neclectic, integrating various research streams in the social sciences. Policy implications are also\nproposed.

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References

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2004The Role of Dissatisfaction and per Capita Income in Explaining Self–Employment across 15 European Countries 2007Postmaterialism Influencing Total Entrepreneurial Activity Across Nations 2008Regional determinants of entrepreneurial start-ups in a developing country 2013National culture, entrepreneurship and economic development: different patterns across the European Union 2013Institutional Determinants of Macro–Level Entrepreneurship

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