The Lag Structure of the Impact of Business Ownership on Economic Performance in OECD Countries

This paper investigates the impact of changes in the number of business owners on three measures of economic performance, viz. employment growth, GDP growth and labor productivity growth. Particular attention is devoted to the lag structure. The analysis is performed at the country level for 21 OECD countries. Our results confirm earlier evidence on three stages in the impact of entry on economic performance: an initial direct positive effect, followed by a negative effect due to exiting capacities and finally a stage of positive supply-side effects. The net effect is positive for employment and GDP growth. Changes in the number of business owners have no effect on labor productivity

Allocation and Productivity of Time in New Ventures of Female and Male Entrepreneurs

[Please note that there exists an updated version of this publication at http://hdl.handle.net/1765/8989] This study investigates the factors explaining the number of hours invested in new ventures, making a distinction between the effect of preference for work time versus leisure time and that of productivity of work time. Using data of 1247 Dutch entrepreneurs, we find that time invested in the business is determined by various aspects of human, financial and social capital, availability of other income, outsourcing, side activities and gender. We show that some of the identified factors relate to preferences and others to productivity. Women appear to invest less time in the business as a result of a range of indirect productivity effects

Allocation and Productivity of Time in New Ventures of Female and Male Entrepreneurs

This paper investigates time allocation decisions in new ventures of female and male entrepreneurs using a model that distinguishes between effects of preferences and productivity on the number of working hours. Using data of 1,158 entrepreneurs we find that the preference for work time in new ventures relates to start-up motivation, propensity to take risk and availability of other income. Productivity of work time relates to human, financial and social capital endowments and the prevalence of outsourcing activities. This study also evaluates actual profit effects one year after start-up. We find that on average women invest less time in the business than men. This can be attributed to both a lower preference for work time (driven by risk aversion and availability of other income) and a lower productivity per hour worked (due to lower endowments of human, social and financial capital)

Does Entrepreneurship Reduce Unemployment?

The relationship between unemployment and entrepreneurship has been shrouded with ambiguity. There is assumed to be a two-way causation between changes in the level of entrepreneurship and that of unemployment-- a "Schumpeter" effect of entrepreneurship reducing unemployment and a "refugee" or "shopkeeper" effect of unemployment stimulating entrepreneurship. The purpose of this paper is to try to reconcile the ambiguities found in the relationship between unemployment and entrepreneurship. We do this by introducing a two equation model where changes in unemployment and in the number of business owners are linked to subsequent changes in those variables for a panel of 23 OECD countries over the period 1974-1998. The existence of two distinct and separate relationships between unemployment and entrepreneurship is identified including significant "Schumpeter" and "refugee" effects

Business Ownership and Economic Growth in 23 OECD Countries

In the present paper we address the relationship between the extent of business ownership (self-employment) and economic development. We will focus upon three issues. First, how is the equilibrium rate of business ownership related to the stage of economic development? Second, what is the speed of convergence towards the equilibrium rate when the rate of business ownership is out-of-equilibrium? Third, to what extent does deviating from the equilibrium rate of business ownership lead to less economic growth? Hypotheses concerning all three issues are formulated setting up a new two-equation model. We find confirmation for the hypothesised effects using a data panel of 23 OECD countries. An important policy implication of our exercises is that low barriers to entry and exit of self-employed/businesses are necessary conditions for the equilibrium seeking mechanisms that are vital for a sound economic development

Werner states and the two-spinors Heisenberg anti-ferromagnet

We ascertain, following ideas of Arnesen, Bose, and Vedral concerning thermal entanglement [Phys. Rev. Lett. {\bf 87} (2001) 017901] and using the statistical tool called {\it entropic non-triviality} [Lamberti, Martin, Plastino, and Rosso, Physica A {\bf 334} (2004) 119], that there is a one to one correspondence between (i) the mixing coefficient $x$ of a Werner state, on the one hand, and (ii) the temperature $T$ of the one-dimensional Heisenberg two-spin chain with a magnetic field $B$ along the $z-$axis, on the other one. This is true for each value of $B$ below a certain critical value $B_c$. The pertinent mapping depends on the particular $B-$value one selects within such a range

Impeded Industrial Restructuring: the growth penalty

This paper documents that a process of industrial restructuring has been transforming the developed economies, where large corporations are accounting for less economic activity and small firms are accounting for a greater share of economic activity. Not all countries, however, are experiencing the same shift in their industrial structures. Very little is known about the cost of resisting this restructuring process. The goal of this paper is to identify whether there is a cost, measured in terms of forgone growth, of an impeded restructuring process. The cost is measured by linking growth rates of European countries to deviations from the optimal industrial structure. The empirical evidence suggests that countries impeding the restructuring process pay a penalty in terms of forgone growth

Control adaptativo del acabado superficial en la de procesos de torneado automatizados

El objetivo principal de este trabajo es el diseño y desarrollo de un sistema de control on-line del acabado superficial en procesos de torneado automatizado CNC. El sistema de control se divide en dos fases principales: en la primera fase, se diseña un sistema de monitorización del acabado superficial basado en el análisis de las fuerzas de corte del proceso de mecanizado; en la segunda fase, se desarrolla un sistema de control adaptativo en lazo cerrado basado en la información obtenida durante la monitorización del proceso de corte. Este sistema permite mantener el acabado superficial dentro de un rango de valores óptimos mediante el ajuste on-line del avance a través de la comunicación con el PLC del torno CNC. El sistema de control desarrollado logra mantener la rugosidad superficial dentro de los valores preestablecidos en la fase de diseño detectando y corrigiendo errores durante la ejecución del mecanizado

The effect of entrepreneurial activity on national economic growth

Entrepreneurial activity is generally assumed to be an important aspect of the organization of industries most conducive to innovative activity and unrestrained competition. This paper investigates whether total entrepreneurial activity influences GDP growth for a sample of 36 countries. We test whether this influence depends on the level of economic development measured as GDP per capita. Adjustment is made for a range of alternative explanations for achieving economic growth by incorporating the Growth Competitiveness Index. We find that entrepreneurial activity by nascent entrepreneurs and owner/managers of young businesses affects economic growth, but that this effect depends upon the level of per capita income. This suggests that entrepreneurship plays a different role in countries in different stages of economic development