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July 15, 2026
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Modeling of Necessity Entrepreneurship via General Equilibrium Approach

P. 185–190.
Fomenko M., Alexander Shapoval

We construct a structural model of the occupational choice under unemployment, giving a natural definition of necessity entrepreneurs as individuals who fail to find a salaried job, but running business, they are able to earn more than the unemployment benefit. The existence of the necessity entrepreneurs shrinks unemployment in the economy and positively affects the welfare.

Language: English
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Keywords: general equilibrium modelnecessity entrepreneurship
Publication based on the results of:
Construction of mathematical models designed for the analysis of data series, prediction of big systems’ evolution, and the control of the dynamics of these systems (2019)

In book

Proceedings of the MACSPro Workshop 2019
Vol. 2478: CEUR Workshop Proceedings. , CEUR-WS.org, 2019.
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