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Flashcards in Public policy, small business and entrepreneurship Deck (18):

What are the three stages of the OECD framework?

Determinants of entrepreneurship, entrepreneurial performance, impact of entrepreneurship


Identify the 6 determinants of entrepreneurship

Regulatory framework, R&D and technology, entrepreneurial capabilities, culture, access to finance, market conditions


identify the 3 entrepreneurial performance measures

Firm-based, employment-based, other


Give examples of firm based measures of entrepreneurial performance

Entry/exit rates, survival rates


Give examples of employment based measures of entrepreneurial performance

Employment growth, ownership rates


Give examples of 'other' measures of entrepreneurial performance

Turnover, productivity contribution, innovation


What 3 impact factors does entrepreneurial performance have?

Job creation, economic growth, poverty reduction (these all give economic, social and political benefits)


What two approaches are justification for public intervention in entrepreneurship?

Market failure approach, political-economic approach


In the market failure approach, what does intervention aim to achieve?

Increase competition and reduce monopoly power, reduce information imperfections, provide wider positive externalities or spillovers from entrepreneurship


In the political-economic approach, what is the main premise for intervention

SMEs have a wide economic impact on non-owners as well so intervening will help gain voted during elections


Who proposed the model of entrepreneurship and SME policy?

Lundstrom and Stevenson (2007)


What are entrepreneurship policies and what do they aim to achieve?

'Soft' policies which aim to create businesses up to start up phase


What are SME policies and what do they aim to achieve?

'Hard' policies which aim to support current businesses after start up phase


Advantages of using entrepreneurship policies?

Increase innovation, increase competition, increase consumer choice


Disadvantages of using entrepreneurship policies?

Most people are uninterested in starting a business (employment utility), more is not necessarily better


Advantages of using SME policies

Most SME's have low productivity, SME's bring lots of economic and social benefits


Disadvantages of SME policies

Most SME's don't want to grow, SME's are diverse so one policy wont impact al of them


identify 5 ways policies can be rationed

Sector, owner, how new the business is, price of policy, quantity of policy