Full Citation

Title: Globalization and entrepreneurial entry and exit: Evidence from U.S. households

Citation Type: Journal Article

Publication Year: 2021

ISBN:

ISSN: 0304-3932

DOI: 10.1016/J.JMONECO.2021.05.001

NSFID:

PMCID:

PMID:

Abstract: Using a database on U.S. individuals and households, we examine whether rise in globalization and trade integration of product markets have contributed to the observed decline in US entrepreneurship in trade-exposed sectors. US trade policy that lowered tariffs on China dampens entrepreneurial dynamism through lower entry (especially by incorporated entrepreneurs) and higher exit in exposed sectors but increases entry by highly educated individuals in skill-intensive nontradable industries. The results are robust to secular trends, labor market specialization, local collateral and credit shocks, and long-run bank distress. They are also robust to aggregation at local, state, and national industry levels.

Url: https://www.sciencedirect.com/science/article/pii/S0304393221000519?via%3Dihub

User Submitted?: No

Authors: Aslan, Hadiye; Kumar, Praveen

Periodical (Full): Journal of Monetary Economics

Issue:

Volume: 120

Pages: 83-100

Data Collections: IPUMS USA

Topics: Labor Force and Occupational Structure, Other

Countries: