sh.sePublications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Linking Entrepreneurship and Economic Growth in Sweden, 1850–2000
Södertörn University, School of Social Sciences, Business Studies.ORCID iD: 0000-0003-0426-7936
Södertörn University, School of Social Sciences, Business Studies.
Södertörn University, School of Social Sciences, Economics.
2014 (English)Report (Other academic)
Abstract [en]

Entrepreneurship has gained increasing support from governments in recent decades. Entrepreneurship is considered to generate new jobs, innovations, and economic growth. In current research, a causal link between entrepreneurial activity and economic growth is maintained, where variations in entrepreneurship precede variations in economic output. Various models identify a positive effect entrepreneurship on economic development in advanced, innovation-driven economies in the most recent decades – a time when several Western countries transformed from ‘managed’ to ‘entrepreneurial’ economies.

Self-employment is one of the most common indicators of entrepreneurship in both policy and research. The present study analyzes the relationship between growth in self-employment and economic growth in Sweden between 1850 and 2000. For the entire period (1851–2000), variations in self-employment had a significant, instantaneous positive correlation with GDP growth. Using Granger causality tests, the results in this study show that variations in self-employment did not granger-cause GDP growth. We discovered a structural break in GDP growth as early as in the year of 1948, which gives two different periods: 1851–1948 and 1949–2000.

Between 1851 and 1948, Granger causality between self-employment and GDP in either (Granger) direction could not be established. For the other segment (1949–2000), GDP growth granger-caused self-employment growth, but not the other way around. Granger causality tests in the frequency domain show that for the period 1949–2000, but for no other periods, variations in self-employment lagged with GDP growth. Consequently, GDP growth preceded self-employment growth, but self-employment growth did not precede GDP growth.

Given that self-employment is a suitable indicator for entrepreneurship, the empirical results in this study are, in several respects, in disagreement with dominating assumptions in mainstream entrepreneurship research.

Place, publisher, year, edition, pages
Huddinge: Södertörns högskola, 2014. , 43 p.
Series
PESO Working Papers, 2014:1
National Category
Business Administration
Identifiers
URN: urn:nbn:se:sh:diva-24126OAI: oai:DiVA.org:sh-24126DiVA: diva2:726533
Available from: 2014-06-18 Created: 2014-06-18 Last updated: 2017-09-22Bibliographically approved

Open Access in DiVA

Linking Entrepreneurship and Economic Growth in Sweden, 1850–2000(634 kB)279 downloads
File information
File name FULLTEXT01.pdfFile size 634 kBChecksum SHA-512
579f281326a409d540918cf20ada63737d6edc9b9158da425446ab259388357bf9158f8dbd32dceb2886ccccf99d77814f172a9a4981a484647eb83a2d811adc
Type fulltextMimetype application/pdf

Search in DiVA

By author/editor
Box, MarcusGratzer, KarlLin, Xiang
By organisation
Business StudiesEconomics
Business Administration

Search outside of DiVA

GoogleGoogle Scholar
Total: 279 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

Total: 1511 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf