Working Paper: CEPR ID: DP5707
Authors: Simeon Djankov; Edward Miguel; Yingyi Qian; Grard Roland; Ekaterina Zhuravskaya
Abstract: Studies of the determinants of entrepreneurship have emphasized three distinct perspectives: market institutions, social networks and personal characteristics. Using data from a pilot survey with over 2,000 interviews in 7 cities across Russia, we find evidence for a particularly strong effect of social networks: individuals whose relatives and childhood friends are entrepreneurs are more than twice as likely to be entrepreneurs. Mothers’ characteristics play a significant role in determining future entrepreneurs.
Keywords: entrepreneurs; entrepreneurship; Russia
JEL Codes: L22; M13; P50
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Individuals with entrepreneurial relatives (L26) | Individuals becoming entrepreneurs (L26) |
| Individuals with entrepreneurial friends (L26) | Individuals becoming entrepreneurs (L26) |
| Higher parental education levels (I24) | Individuals becoming entrepreneurs (L26) |
| Cognitive ability (G53) | Individuals becoming entrepreneurs (L26) |
| Educational background (A29) | Individuals becoming entrepreneurs (L26) |
| Confidence and risk tolerance (G41) | Individuals becoming entrepreneurs (L26) |
| Perceptions of corruption (H57) | Entrepreneurial decisions (L26) |
| Government attitudes towards entrepreneurship (L53) | Entrepreneurial decisions (L26) |