Entrepreneurs and their Capital Constraints in The Netherlands
Speakers: Simon Parker, Mirjam van Praag, Joep Rats and Piet Duffheus
Location: Hilton Hotel Amsterdam, Apollolaan 138, Amsterdam
Key questions addressed in this workshop include: To what extent is the performance of a small business venture, once started, affected by capital constraints at the time of inception? And, what impact does human capital (education) of the entrepreneur have on the venture’s performance? Parker and Van Praag present new research results indicating that financial capital constraints do hinder entrepreneurial performance significantly. They also show that the education of entrepreneurs has a great effect on performance, both directly and indirectly via the effect of capital constraints. Joep Rats will critically discuss these results from a policy perspective, whereas Piet Duffhues will do so from a researcher’s perspective, since he has recently authored a related MKB-NL/RZO research. Previous research has demonstrated the social benefits arising from entrepreneurial activity to be larger than their private returns. Hence, there could be a rationale for governments to help entrepreneurs to become successful. The research presented in this workshop points at relaxing capital constraints and simultaneously design and implement measures to attract higher educated individuals to starting up businesses as primary aims of government interference. However, it is not yet clear-cut whether this or other measures are optimal and how and by which parties they should be undertaken. Hopefully, the research results presented, together with the subsequent discussion will bring new insights and ideas to solve these important issues.
If you wish to attend, please send an e-mail to email@example.com before January 20.