Credit rationing or entrepreneurial risk aversion? An alternative explanation for the Evans and Jovanovic finding
UNSPECIFIED (2000) Credit rationing or entrepreneurial risk aversion? An alternative explanation for the Evans and Jovanovic finding. ECONOMICS LETTERS, 66 (2). pp. 235-240. ISSN 0165-1765Full text not available from this repository.
Evans and Jovanovic ('EJ') [Evans, D., Jovanovic, B., 1989. An estimated model of entrepreneurial choice under Liquidity constraints. Journal of Political Economy 97 (4), 808-827.] claimed that in a credit market with collateral-based lending, credit rationing occurs if more collateral increases startups. Adjusting the model to incorporate uncertainty and decreasing absolute risk aversion, this relationship can be explained as a risk averter's response to the lowered riskiness of self- over wage-employment. (C) 2000 Elsevier Science S.A. All rights reserved.
|Item Type:||Journal Article|
|Subjects:||H Social Sciences > HC Economic History and Conditions|
|Journal or Publication Title:||ECONOMICS LETTERS|
|Publisher:||ELSEVIER SCIENCE SA|
|Number of Pages:||6|
|Page Range:||pp. 235-240|
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