Academic journal article Lecturas de Economia

Determinantes De la Dinamica del Autoempleo Y Sus Implicaciones Sobre la Efectividad De la Politica De Promocion Empresarial

Academic journal article Lecturas de Economia

Determinantes De la Dinamica del Autoempleo Y Sus Implicaciones Sobre la Efectividad De la Politica De Promocion Empresarial

Article excerpt

Determinants of self-employment dynamics and their implications on entrepreneurial policy effectiveness

Les determinants de la dynamique de l'auto--emploi et leurs implications sur l'efficacite de la politique de soutient aux entreprises

Determinants of self-employment dynamics and their implications on entrepreneurial policy effectiveness.

--Introduction.--I. Self-employment patterns in the OECD. --II. The current entrepreneurial promotion policy.--III. The determinants of self-employment dynamics.--IV. Data limitations.--Conclusion and discussion.--References.

Introduction

Over the last decades, self-employment has taken a larger place in total non-agricultural employment in a number of OECD countries (OECD, 2000). However, the causes of this evolution are not yet well understood. At the international level, the clearest statistical relationship is the tendency for self-employment to be lower in countries with higher GDP per capita. Nevertheless GDP per capita has been rising in all countries, including those where self-employment is rising; therefore, other factors are clearly at work.

This perception can help us to understand, to a certain extent, the whys and wherefores of a renewed interest in entrepreneurship research. In fact, entrepreneurship have attracted an increased interest in the world of Economics, which is evident according to the exponential growth of works devoted (mainly empirical) to the economics of entrepreneurship (perhaps, more precisely to the economics of self-employment).

Surprisingly, the evolution of this topic of research has been peculiar. In fact, the progressive introduction of some active promotion self-employment policies in the action policy agenda was prior to the proliferation of propositions and empirical findings. It was to be expected that this fact had profound effects on the effectiveness of entrepreneurial policy.

Hence, we have moved from a situation in which policy makers identified a market failure and decided to intervene, in spite of the weakness of existing propositions, to another one characterized by the existence of more precise findings which can be used as powerful political guidelines.

However, this change has not had yet affected the design of entrepreneurship promotion policy, as a logical corollary. Therefore, this paper attempts to summarize the current state of the entrepreneurial promotion policy and the main empirical research results on self-employment dynamics in order to discuss its possible implications on policy effectiveness. Thus, the main aim of this work is to stimulate the debate as the stepping stone to the necessary further conditional analysis to be carried out for an adequate design of the action policy agenda.

The organization of this paper is as follows. Section I describes and motivates self-employment patterns in the OECD countries by means of COMPENDIA methodology. Section II discusses the current entrepreneurial promotion policy in the OECD. Section III briefly reviews the main empirical results obtained by self-employment dynamics research and Section IV deals with data limitations for the empirical analysis. Finally, a discussion about the concluding remarks of the paper is contained in the last section.

I. Self-Employment Patterns in the OECD

Harmonised data on entrepreneurship per country are not readily available; definitions that are used differ from country to country and available statistical data sets are often not regularly updated. Nevertheless, the COMPENDIA data-set can be used to provide an overall picture of the state of entrepreneurship in the OECD. (1) Thus, table 1 presents data on the evolution of non-agricultural self-employment in OECD countries using the COMPENDIA data set.

During the 1990s, self employment grew faster than civilian employment as a whole in most OECD countries. This contrasts with the 1970s, when the share of self-employment tended to fall. …

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