Entrepreneurship Development and the Role of Economic Transition in Entrepreneurial Activities in China
Ying Zhang & Geert Duysters
#2010-036
This study aims to elaborate entrepreneurship development in China and
the role of China’s economic transition in entrepreneurial activities.
Besides addressing China’s institutional transition environment, which
is argued as the necessary condition of entrepreneurship development and
as the ‘incubator’ of three generations of entrepreneurs in China, the
applied panel dataset was organized by collecting data from 31 provinces
in China in recent 4 years. Our results show that China’s economic
development has a significant inversed U-shaped impact on
entrepreneurship development in the transitional stage from
efficient-driven to innovation-driven economy. Complementary conclusions
in the recent transitional stage include that education resource and
regional economic openness respectively has significantly positive
impact on entrepreneurship. The interactive effect of education
resources and economic openness was also found significantly positive
but results associated with unemployment’s impact present that
unemployment executes negative impact insignificantly, which is
consistent with the fact of China’s entrepreneurship development is
approaching to opportunity-oriented stage in recent years.
Keywords: Entrepreneurship development, Economic development, China
JEL Code: J23, M13, O11
UNU-MERIT Working Papers
ISSN 1871-9872