The Impact of Public Policy on Entrepreneurial Outcomes
Edited by Gregory M. Randolph, Michael T. Tasto and Robert F. Salvino Jr.
Chapter 5: Politics and entrepreneurship
This chapter explores the relationship between politics and entrepreneurship. While the aim of the U.S. House Select Committee on Small Business is presumably to increase entrepreneurial activity, state measures of entrepreneurship show the opposite effect as states with representatives on the committee have lower levels of entrepreneurship. This relationship between state committee representation and state-level entrepreneurship is examined by evaluating congressional dominance. The findings in this chapter suggest that politicians cannot spur entrepreneurship, and may even deter productive entrepreneurship. Keywords: Politics, entrepreneurship, congressional committees
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