- A-Z
- Jena Economics Rese...
- Volume 7
- Balanced Skills and...
- Author
- published
- Tue Feb 26 2013
- Number of discussion paper
-
2013-010
- keyword(s)
-
Agglomeration
Balanced Skills
Entrepreneurship
Thick Markets
Urban Diversity
- abstract
-
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.
- article pub. typess JER
- Research article
- article languages JER
- Englisch
- JEL-Classification for JER
- R1 - General Regional Economics; L26 - Entrepreneurship ; J24 - Human Capital; Skills; Occupational Choice; Labor Productivity ; O31 - Innovation and Invention: Processes and Incentives
- URN
- urn:nbn:de:urmel-1b4deb6c-6f11-422a-809a-de49a51472c17-00229818-18