Entrepreneurship and property right: de Soto'r right

Kodila-Tedika, Oasis (2012): Entrepreneurship and property right: de Soto'r right.

Abstract

Using cross-sectional analysis with new data on entrepreneurship and entrepreneurship, we test the hypothesis of de Soto (1994, 2005) that the right of property is required for hatching entrepreneurship. Given our econometric estimates and our sensitivity tests, the right to property is essential to entrepreneurship. Countries with a higher entrepreneurship are those who respect property rights..

• Item Type: MPRA Paper
• English Title: Entrepreneuriat et droit de propriété : de Soto a raison
• Language: French
• Keywords: de Soto, entrepreneuriat, droit de propriété, institutions
• Subjects: D - Microeconomics > D7 - Analysis of Collective Decision-Making > D73 - Bureaucracy ; Administrative Processes in Public Organizations ; Corruption; D - Microeconomics > D2 - Production and Organizations; I - Health, Education, and Welfare > I2 - Education and Research Institutions; L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L26 - Entrepreneurship; P - Economic Systems > P4 - Other Economic Systems > P48 - Political Economy ; Legal Institutions ; Property Rights ; Natural Resources ; Energy ; Environment ; Regional Studies

References

Aghion, P. et Howitt, P. (2010), L’économie de la croissance, Paris, Economica.

Ayyagari, M., Demirgüç-Kunt, A. and Maksimovic, V. (2006), “What Determines Protection of Property Rights? An Analysis of Direct and Indirect Effects”, World Bank Policy Research Working Paper 3940.

Baumol W.J. (1968), “Entrepreneurship in Economic Theory”, American Economic Review, Vol. 58, No 2, pp.64-71.

Beck, T., Demirgüç-Kunt, A. and Levine, R. (2003), “Law, Endowments and Finance”, Journal of Financial Economics, Vol. 70, No 2, pp. 137-181.

Besley, T.J, Ghatak, M., and Burchardi , K. (2012) Incentives and the de Soto Effect, Quarterly Journal of Economics forthcoming.

Besley, T.J. & Ghatak, M., 2009. "Property Rights and Economic Development," CEPR Discussion Papers 7243, C.E.P.R. Discussion Papers.

Bjornskov, C. and Foss, N.J. (2008). “Economic freedom and entrepreneurial activity: Some cross-country evidence”, Public Choice, 134, 307-328.

Caree, M.A. and Thurik, A.R. (2003), “The impact of entrepreneurship on economic growth”. In Acs and Audretsch, eds. International Handbook of Entrepreneurial Research.

Carree M.-A. and Thurik A.-R. (2002), “The Impact of Entrepreneurship on Economic Growth”, in Zoltan, Acs and Audretsch (eds), International Handbook of Entrepreneurship Research, 17, pp. 437-471.

Chatelain, J.-B. et Ralf, K. (2012), “Les liaisons fallacieuses : quasi-colinéarité et « suppresseur classique », aide au développement et croissance”, Revue économique Vol. 63, No 3, pp. 557-567.

de Soto, H. (1994), L'autre sentier, Paris, La découverte.

de Soto, H. (2005), Le Mystère du capital : Pourquoi le capitalisme triomphe en Occident et échoue partout ailleurs, Paris, Flammarion.

Facchini, F. (2007), “Entrepreneur et croissance économique : développements récents”, Revue d'économie industrielle, 119, pp. 55-84.

Hafer, R.W. and Jones, G. (2012), “IQ and Entrepreneurship: International Evidence”, GMU Working paper.

Henderson J. (2002), “Building the Rural Economy with High-Growth Entrepreneurs”, Federal Reserve Bank of Kansas City Economic Review, Vol. 87, No 3, pp. 45-70.

Holcombe, R.G. (1998), “Entrepreneurship and economic growth”, The Quarterly Journal of Austrian Economics, Vol. 1, No 2, pp. 45-62.

Johnson, S., Kaufmann, D. and Zoido-Lobaton, P. (1998), “Government in transition: Regulatory discretion and the unofficial economy”, American Economic Review, Vol. 88, pp. 387-392.

Kirzner, I. (1997), “Entrepreneurial Discovery and the Competitive Market Process: An Austrian Approach”, Journal of Economic Literature, Vol. 35, pp. 60-85.

Kodila-Tedika, O. and Agbor Agbor, J. (2012), “Does Trust Matter For Entrepreuneurship: Evidence from A Cross-Section of Countries”, MPRA Paper 42292.

Kodila-Tedika, O. and Garello, P. (2012), “Entrepreneurship Matters: Empirical Evidence on Innovation”, mimeo.

Kreft, S. F. and Sobel, R. S. (2005), “Public Policy, Entrepreneurship, and Economic Freedom”, Cato Journal, Vol. 25, No 3, pp. 595-616.

La Porta, R., Lopez-de-Silanes, F., Shleifer, A. and Vishny, R.W. (1998), “Law and finance”, Journal of Political Economy, Vol. 106, 1113-1155.

La Porta, R., Lopez-de-Silanes, F., Shleifer, A. and Vishny, R.W. (1999), “The Quality of Government. Journal of Law, Economics, and Organization, Vol. 15, 222-279.

Mises, Ludwig von. 1949. Human Action. London: William Hodge.