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Partisan Entrepreneurship

Author

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  • Engelberg, Joseph E.
  • Guzman, Jorge
  • Lu, Runjing

    (University of Alberta)

  • Mullins, William

    (UC San Diego)

Abstract

Republicans start more firms than Democrats. In a sample of 40 million party-identified Americans between 2005 and 2017, we find that 5.5% of Republicans and 3.7% of Democrats become entrepreneurs. This partisan entrepreneurship gap is time-varying: Republicans increase their relative entrepreneurship during Republican administrations and decrease it during Democratic administrations, amounting to a partisan reallocation of 170,000 new firms over our 13-year sample. We find sharp changes in partisan entrepreneurship around the elections of President Obama and President Trump, and the strongest effects among the most politically active partisans: those that donate and vote.

Suggested Citation

  • Engelberg, Joseph E. & Guzman, Jorge & Lu, Runjing & Mullins, William, 2021. "Partisan Entrepreneurship," SocArXiv qhs6j_v1, Center for Open Science.
    • Handle: RePEc:osf:socarx:qhs6j_v1
    DOI: 10.31219/osf.io/qhs6j_v1
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