Rule of law and regulatory quality as drivers of entrepreneurship

This paper investigates empirically the effects of institutions on new business formation in the Italian provinces over the period 2004-12. According to the results, local institutional quality positively affects entry rates, and its impact is stronger in high-tech industries. Among different instit...

Full description

Saved in:
Bibliographic Details
Published in:Regional studies 2020-06, Vol.54 (6), p.814-826
Main Authors: Agostino, Mariarosaria, Nifo, Annamaria, Trivieri, Francesco, Vecchione, Gaetano
Format: Article
Language:English
Subjects:
Capital formation
Endowments
Entrepreneurship
Human capital
institutions
Italy
Organizational aspects
Provinces
regulatory quality
Rule of law
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:This paper investigates empirically the effects of institutions on new business formation in the Italian provinces over the period 2004-12. According to the results, local institutional quality positively affects entry rates, and its impact is stronger in high-tech industries. Among different institutional dimensions, rule of law turns out to be more important in southern lagging regions, while regulatory quality seems more relevant in the developed centre-north. In times of crisis, institutional quality loses importance in determining entries, which become more sensitive to the propensity to innovate and to human capital and infrastructural endowments.
ISSN:0034-3404
1360-0591
DOI:10.1080/00343404.2019.1648785