What Makes an Entrepreneur? Evidence on Inheritance and Capital Constraints
Andrew J. Oswald
The paper studies the factors which shape entrepreneurship among
young adults. It finds, using data on a British birth cohort, that the
probability of self-employment depends sensitively upon whether
the individual ever received a gift or inheritance. Those who were
given or inherited Â£5,000, for example, were approximately twice as
likely, ceteris paribus, to set up in business. This is consistent with,
and a new test of, recent results from the US stressing the
importance of capital and liquidity constraints. The paper also
evaluates a number of hypotheses suggested in the literature on
In order to set up a list of libraries that you have access to,
you must first login
or sign up.
Then set up a personal list of libraries from your profile page by
clicking on your user name at the top right of any screen.