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IZA Discussion Paper No. 9744
February 2016
The Entrepreneurship Beveridge Curve
Thomas Gries, Stefan Jungblut, Wim Naudé

published in: International Journal of Economic Theory, 2016, 12 (2), 151-165

We propose that the rate of creation and failure of start-up firms can be modelled as a search and matching process, following labor market matching models. Setting out an endogenous growth model with entrepreneurship we derive a Entrepreneurship Beveridge Curve, through which we illustrate that entrepreneurial start-ups are the outcome of the efficiency with which entrepreneurial abilities are matched with business opportunities. The Entrepreneurship Beveridge Curve is a potentially useful analytical tool to add to the formalization of the economics of entrepreneurship, and we mention a number of extentions and applications.

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Mark Fallak
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Das IZA@LISER-Netzwerk ist eine weltweite Gemeinschaft für exzellente Forschung in der Arbeitsmarktökonomie und angrenzenden Fachgebieten. Nach dem Wechsel von Bonn wird das Netzwerk nun am Luxembourg Institute of Socio-Economic Research (LISER) koordiniert.

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