S-WoPEc
 
Scandinavian Working Papers in Economics
HomeAboutSeriesSubject/JEL codesAdvanced Search
Research Institute of Industrial Economics (IFN) Working Paper Series

No 1153:
Entrepreneurship and Institutions: A Bidirectional Relationship

Niklas Elert () and Magnus Henrekson ()

Abstract: The interplay between entrepreneurship and institutions is crucial for economic development; however, the view that institutions determine the extent to which entrepreneurial activity is productive is only part of the story. We argue that causality is bidirectional, in that entrepreneurship is also, for better or for worse, one of the main drivers of institutional change. Through their actions, entrepreneurs have a fundamental influence on institutions, whether they abide by them, actively try to alter them, or evade them. Particular attention is given to evasive entrepreneurship, an entrepreneurial function which, until recently, has been an underappreciated and poorly understood source of innovation and institutional change. We argue that the influence of evasive entrepreneurship on the economic trajectories of societies is likely to only grow in the future.

Keywords: Economic development; Entrepreneurship; Evasive entrepreneurship; Innovation; Institutional change; Regulation; (follow links to similar papers)

JEL-Codes: L50; M13; O31; P14; (follow links to similar papers)

61 pages, February 16, 2017, Revised May 5, 2017

Before downloading any of the electronic versions below you should read our statement on copyright.
Download GhostScript for viewing Postscript files and the Acrobat Reader for viewing and printing pdf files.

Full text versions of the paper:

wp1153.pdf    PDF-file
Download Statistics
This paper is published as:
Elert, Niklas and Magnus Henrekson, (2017), 'Entrepreneurship and Institutions: A Bidirectional Relationship', Foundations and Trends in Entrepreneurship, Vol. 13, No. 3, pages 191-263



Questions (including download problems) about the papers in this series should be directed to Elisabeth Gustafsson ()
Report other problems with accessing this service to Sune Karlsson () or Helena Lundin ().

Programing by
Design by Joachim Ekebom

Handle: RePEc:hhs:iuiwop:1153 This page was generated on 2017-09-17 20:17:42