Skill variety, innovation and new business formation

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[The authors] extend Lazear's theory of skills variety and entrepreneurship in three directions. First, [the authors] provide a theoretical framework linking new business creation with an entrepreneur's skill variety. Second, in this model [the authors] allow for both generalists and specialists to possess skill variety. Third, [the authors] test [their] model empirically using data from Germany and the Netherlands. Individuals with more varied work experience seem indeed more likely to successfully start up a new business and that being a generalist does not seem to be important in this...  [+] Show more

Subjects: Employment; Skills and knowledge; Innovation

Keywords: Work experience; Self employment; Human capital

Geographic subjects: Europe; Germany; Netherlands

Published: Bonn, Germany: IZA, 2014

Physical description: 35 p.

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Series: IZA discussion paper; no. 7889

Resource type: Discussion paper

Call number: TD/TNC 115.129

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