Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/24905 
Year of Publication: 
2006
Series/Report no.: 
Papers on Entrepreneurship, Growth and Public Policy No. 0706
Publisher: 
Max Planck Institute of Economics, Jena
Abstract: 
Using decomposition analysis, the paper investigates the reasons why Northern England has less but higher performing self-employed businesses than the South. It finds the causes are mainly structural differences rather than due to regional variation in people's characteristics. The paper also unearths a regional dimension behind the impact of education on entrepreneurial job creation. It finds that, in the less developed North, education boosts self-employment job creation by enhancing performance per venture (quality). In the South, it reduces it by having no effect on quality alongside a negative effect on the number of people who become self-employed (quantity).
Subjects: 
Self-employment
job creation
North-South divide
decomposition
JEL: 
J23
R11
R23
Document Type: 
Working Paper

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