This publication examines the principal routes through which enterprise creation and development can impact on local economies. Empirical evidence on the relationship between entrepreneurship and local economies is reviewed. It is shown that while entrepreneurship is a critical component of local economic development, the promotion of entrepreneurship does not constitute a developmental panacea. A number of potential limits to entrepreneurship-oriented strategies - and how these limits might be countered - are considered at length.

This book sets out detailed policy recommendations for both national and local levels of government. These recommendations cover three thematic areas: strategy, finance and programme design. It is hoped that these guidelines will assist local and central governments in designing and implementing cost-effective entrepreneurship strategies and programmes. This publication also describes the types of research that should be undertaken in order to improve understanding of the key policy issues

A broad conclusion from the available material is that self-employment support programmes can reduce the duration of unemployment, raise income and provide a cost-effective alternative to paying unemployment insurance, but only for a small subsection of the unemployed. This generally includes the more motivated and persons with work experience and accumulated financial and human assets.

Organisation for Economic Co-operation and Development
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Alistair Nolan

/04/2003

Alistair Nolan

research

Urban Policy > Economy knowledge & employment > Urban economy

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