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Erscheinungsjahr: 
2013
Schriftenreihe/Nr.: 
Jena Economic Research Papers No. 2013-010
Verlag: 
Friedrich Schiller University Jena and Max Planck Institute of Economics, Jena
Zusammenfassung: 
Being a jack-of-all-trades increases the probability of running an entrepreneurial venture successfully; but what happens to jack-of-few-trades who lack sufficient skills? This paper investigates a possible compensation mechanism between balanced skills and cities, and how this compensatory measure relates to performance. Specifically, we test and find support for the idea put forward by Helsley and Strange (2011) that high market thickness, such as that found in cities, can compensate for a lack of entrepreneurial skill balance. The results indicate that entrepreneurs with low skill balance benefit more from locating in cities than their counterparts with high skill balance. Innovative firms do not differ from other businesses in this respect.
Schlagwörter: 
agglomeration
balanced skills
entrepreneurship
thick markets
urban diversity
JEL: 
R1
L26
J24
O31
Dokumentart: 
Working Paper

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