Next Article in Journal
Impact of Economic Freedom on the Growth Rate: A Panel Data Analysis
Previous Article in Journal
Drivers of Growth in the Travel and Tourism Industry in Malaysia: A Geweke Causality Analysis
Article Menu

Export Article

Open AccessArticle
Economies 2016, 4(1), 4; doi:10.3390/economies4010004

Does Trust Matter for Entrepreneurship: Evidence from a Cross-Section of Countries

1
Department of Economics, University of Kinshasa, Kinshasa, Congo
2
Department of Economics, Stellenbosch University, Cape Town 7602, South Africa
*
Author to whom correspondence should be addressed.
Academic Editor: Ralf Fendel
Received: 16 October 2015 / Revised: 27 January 2016 / Accepted: 23 February 2016 / Published: 4 March 2016
View Full-Text   |   Download PDF [410 KB, uploaded 4 March 2016]   |  

Abstract

Differences in trust levels between countries explain the observed discrepancies in entrepreneurial spirit amongst them. We test this hypothesis with a cross-section of 60 countries in 2010. Our findings suggest that about half of the variation in entrepreneurial spirit across countries in the world is driven by trust considerations. This result is robust to regional clustering, outliers and alternative conditioning variables. The findings of the study indicate that while formal incentives to nurture entrepreneurship must be maintained, policy makers should also seek to pay attention to the role of trust cultivated through informal networks. View Full-Text
Keywords: trust; institution; entrepreneurship trust; institution; entrepreneurship
This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited. (CC BY 4.0).

Scifeed alert for new publications

Never miss any articles matching your research from any publisher
  • Get alerts for new papers matching your research
  • Find out the new papers from selected authors
  • Updated daily for 49'000+ journals and 6000+ publishers
  • Define your Scifeed now

SciFeed Share & Cite This Article

MDPI and ACS Style

Kodila-Tedika, O.; Agbor, J. Does Trust Matter for Entrepreneurship: Evidence from a Cross-Section of Countries. Economies 2016, 4, 4.

Show more citation formats Show less citations formats

Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.

Related Articles

Article Metrics

Article Access Statistics

1

Comments

[Return to top]
Economies EISSN 2227-7099 Published by MDPI AG, Basel, Switzerland RSS E-Mail Table of Contents Alert
Back to Top