Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/75551
Authors: 
Kanniainen, Vesa
Vesala, Timo
Year of Publication: 
2000
Series/Report no.: 
CESifo Working Paper 359
Abstract: 
The paper introduces a model of enterprise formation in a unionized economy with labor protection and wage bargaining. Enterprise formation is subject to future market risk and is shaped by labor market institutions in the post-entry stage. The predictions of the model are tested in cross-section OECD data on 19 economies over 1978-98. Support is found for the view that enterprise formation is adversely affected by economic risks, unemployment compensation, union power, and labor protection variables.
Subjects: 
Entrepreneurship
labor protection
labor unions
JEL: 
J23
J24
J51
M13
Document Type: 
Working Paper

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