Market Size, Entrepreneurship, and Income Inequality
Centre for Economic Policy Research Discussion Paper Series. ISSN 0265-8003. Centre for Economic Policy Research , 2014. No. DP9831.
Pokrovsky D. A., Zhelobodko E. V., Behrens K.
We develop a monopolistic competition model with two sectors and heterogeneous agents who self-select into entrepreneurship, depending on entrepreneurial ability. The effect of market size on the equilibrium share of entrepreneurs crucially hinges on properties of the lower-tier utility function for differentiated varieties – its elasticity of substitution and its Arrow-Pratt index of relative risk aversion. We show that the share of entrepreneurs, and the cutoff for self-selection into entrepreneurship, can increase or decrease with market size. The properties of the underlying ability distribution largely determine how income inequality changes with market size.
Priority areas: economics
, , , Market Size, Entrepreneurship, and Income Inequality / EERC. Series "Labor markets and social policy". 2014.
We develop a monopolistic competition model with two sectors and heterogeneous agents who self-select into entrepreneurship, depending on entrepreneurial ability. The effect of market size on the equilibrium share of entrepreneurs crucially hinges on properties of the lower-tier utility function for differentiated varieties -- its elasticity of substitution and its Arrow-Pratt index of relative risk ...
Added: March 20, 2015
Распределение предпринимательских способностей и миграция: структура занятости, неравенство доходов и благосостояние
, , Журнал Новой экономической ассоциации 2015 № 2 С. 36-62
We define a general equilibrium model with heterogeneous individuals who are endowed by identical preferences, given by utility function with constant elasticity of substitution (CES), and by heterogeneous entrepreneurial skills. We find that scale effects linked to migration are tractable in the framework of the constructed model because the migration changes the market size together ...
Added: November 13, 2014
, Пространственная экономика 2014 № 2 С. 9-39
This paper is addressed to explanation of differentiation of economics in structure of labor market and income distribution. In order to this aim the author develops a model of endogenous formation of entrepreneurship in economics with heterogeneous agents. The nature of heterogeneity is non-trivial distribution of entrepreneurial abilities across individuals. The impact of form and ...
Added: June 16, 2014
, , , The Stable Coexistence of Oligopolies and the Competitive Fringe / Высшая школа экономики. Series WP BRP "Economics/EC". 2018. No. 196.
In this paper, we introduсe a simple new theory on mixed сompetition between oligopolistiс firms and the competitive fringe, assuming a comparative advantage for big firms and free entry for small firms. Oligopolies are defined as conglomerates, each part of which benefits from joint operations through lower costs. Our theory implies that (i) industries with ...
Added: August 15, 2018
, , et al., Экономический журнал Высшей школы экономики 2015 Т. 19 № 2 С. 218-248
This paper studies how heterogeneous individuals, that differ by entrepreneurial skills and productivity as a worker, endogenously choose their occupation (workers vs. entrepreneurs) based on expected income comparison (wages vs. profits). Each entrepreneur runs a firm that produces a single variety of a horizontally differentiated good under monopolistic competition. We show that the cutoff for occupational selection between workers ...
Added: June 16, 2015
, , Journal of Urban Economics 2009 No. 65 P. 228-235
Added: November 23, 2013
, Российский журнал менеджмента 2019 Т. 17 № 1 С. 97-120
The entrepreneurial activity might be significantly heterogeneous at the regional level. Cases of economies, which have not been socialistic in the past, demonstrate that spatial differences in entrepreneurship are persistent over time. However, it is still unclear whether such historical effects exist in emerging economies. This study investigates the relationship between entrepreneurial activity in regions ...
Added: April 25, 2019
, Product Diversity in a Vertical Distribution Channel under Monopolistic Competition / Economics Education and Research Consortium. Series "EERC Working Paper Series". 2010. No. 10/03E.
In Russia the chain-stores gained a considerable market power. In the paper we combine a Dixit-Stiglitz industry with a monopolistic retailer. The questions addressed are: Does the retailer always deteriorate welfare, prices and variety of goods? Which market structure is worse: Nash or Stackelberg behavior? What should be the public policy in this area? ...
Added: November 17, 2013
, Аудит и финансовый анализ 2013 № 6 С. 154-160
The paper develops a one-sector model of monopolistic competition with heterogeneous consumers, which preferences depend upon their personal income. The model is used for the analysis of the mark-ups dependence on the inequality of consumers’ income distribution and average wage. The paper shows that mark-ups can ambiguously depend upon income inequality at fixed average income, ...
Added: November 14, 2013
, Экономическая наука современной России 1999 № 3 С. 49-63
The article examines the specifics of small business sector institutional development in the transitional economy of Russia. It shows that small business adjustment has brought about a number of economic institutions, for example, business networks and vertically integrated structures. But business associations as a fully-fledged institution representing and protecting the interests of small business have ...
Added: March 29, 2013
, , , Журнал Новой экономической ассоциации 2013 № 19 С. 10-26
The paper studies a market of horizontally differentiated good under increasing return to scale and exogenous number of firms. Three concepts of equilibria are compared: Cournot, Bertrand and monopolistic competition. Under fairly general assumptions on consumer’s preferences, it is shown that Lerner index is the highest in Cournot case, monopolistic competition provides the lowest one ...
Added: November 14, 2013
, Foresight and STI Governance 2019 Vol. 13 No. 4 P. 48-59
Institutions play a key role in building entrepreneurial ecosystems (EEs). However, the academic literature does not well represent the historical roots of these institutions and most works are devoted to developed countries. This article examines the institutional conditions for the development of scientific and entrepreneurial activities at universities in the context of the transition to ...
Added: March 2, 2020
, , et al., Regional Science and Urban Economics 2007 No. 37 P. 625-648
Added: November 23, 2013
, Форсайт 2017 Т. 11 № 3 С. 6-9
Introductory paper to the special issue "Innovation Entrepreneurship in Transition Economies" ...
Added: October 12, 2017
, , Вестник Санкт-Петербургского университета. Серия 8. Менеджмент 2016 № 3 С. 107-138
This article presents the results of a research which purpose was to investigate the link between institutional features and the motivation of entrepreneurial activity on the country level. We evaluate the level of total early-stage entrepreneurial activity, and, more specifically, the share of necessity-driven entrepreneurship. Taking into account Scott’s institutional theory, we established the main factors ...
Added: February 12, 2017
, , , В кн. : Устойчивое развитие российских регионов: экономики политических процессов и новая модель пространственного развития. Доклады Девятой Международной научно-практической конференции по проблемам экономического развития в современном мире (Екатеринбург, 20-21 апреля 2012 г.). : Екатеринбург : Уральский федеральный университет им. первого Президента России Б.Н. Ельцина, 2012. С. 284-292.
Разрабатывается модель закрытой двухсекторной экономики с гетерогенными агентами с разным уровнем предпринимательских способностей в концепции монополистической конкуренции. http://urfu.ru/no_cache/science/conf/ustoichivoe-razvitie-rossiiskikh-regionov/download-file/Programm.doc/24518/11569/cf6d76f9/ ...
Added: October 1, 2013
, , et al., СПб. : Левша-Санкт-Петербург, 2016
The book is a result of research conducted in the HSE as part of a research project supported by a grant from the Russian Humanitarian Foundation №16-02-00172 «Development of a multi-level game-tition theory, its methods and techniques." Scientific research in this area is expected to spend over three years - from 2016 to 2018. At ...
Added: February 14, 2017
, , et al., Journal of International Economics 2009 No. 79 P. 259-265
Added: November 23, 2013
, , , Trade Patterns and Export Pricing Under Non-CES Preferences / . 2013. No. 124.
We develop a two-factor, two-sector trade model of monopolistic competition with variable elasticity of substitution. Firm profit and firm size may increase or decrease with market integration depending on the degree of asymmetry between countries. The country in which capital is relatively abundant is a net exporter of the manufactured good, while both firms' size ...
Added: November 19, 2013
Предпринимательство и реформы в России: материалы 18-й международной конференции молодых ученых-экономистов 22 - 23 ноября 2012 г.
СПб. : ЭФ СПбГУ, 2012
Proceedings of the 18th international conference of young scientists and economists November 22 - 23, 2012 ...
Added: March 24, 2014
, Вестник Санкт-Петербургского университета. Серия 5. Экономика 2020 Т. 36 № 4 С. 579-600
This study investigates the effect of a twofold rise in fixed payments on sole-proprietors and entrepreneurial activity in 2013 and a twofold decline in these payments in 2014. The paper considers consequences of this decision for various facets of entrepreneurship: the presence of small and medium enterprises in an economy, the new business entries, and ...
Added: March 4, 2021
Innovation, Entrepreneurship and Industrial Dynamics in Internationalized Regional Economies. Revised papers presented at the 20th Uddevalla Symposium, 15-17 June, 2017, Trollhattan, Sweden
University West, 2017
This antology consists of 28 revised papers, first presented and discussed at the 20th Anniversary Uddevalla Symposium 2017 on " Innovation, Entrepreneurship and Industrial Dynamics in Internationalized Regional Economies" , which was held at University West, Trollhattan, Sweden on 15-17 June 2017. ...
Added: October 19, 2018
Что такое предпринимательство и какая политика в отношении предпринимательства нужна России? (Заметки на полях работ современных зарубежных классиков)
, Журнал Новой экономической ассоциации 2012 № 2 С. 102-124
The article analyses the characteristics of small and medium sized enterprises and state policy towards SME in modern Russia – in the context of some rather unknown for the Russian experts evidences of last decades, formulated in the works of leading world researchers concerning the role of entrepreneurship, its conditions of development and institutional design ...
Added: August 18, 2012
Historical shocks and persistence of economic activity: evidence on self-employment from a unique natural experiment
, , et al., Regional Studies 2019 Vol. 53 No. 6 P. 790-802
This paper investigates the persistence of self-employment in the districts of Kaliningrad, a Russian exclave, between 1925 and 2010. The area experienced a number of disruptive historical shocks during this period. This setting rules out the fact that the persistence of self-employment can be explained by the persistence of institutions and culture. Nevertheless, a high ...
Added: July 31, 2018