Regional deregulation and entrepreneurial growth in China's transition economy
Date of Issue2011
School of Humanities and Social Sciences
Despite a less favourable national institutional environment, the private entrepreneurial sector has developed rapidly in China¡¯s transition economy. To resolve this puzzle, this study argues that regional deregulation plays a significant role in China¡¯s entrepreneurial growth because it stimulates free markets and lifts predatory and discriminatory regulatory policies affecting entrepreneurship. I use provincial-level panel data (1998¨C2003) for hypothesis testing. The results, based on fixed effects estimation, suggest that deregulation indeed has a significantly positive effect on entrepreneurial growth within regions. In addition, this effect is found to be stronger in earlier years, as well as among less developed, inland regions.
DRNTU::Social sciences::Economic development::China
Entrepreneurship and regional development
© 2011 Taylor & Francis. This is the author created version of a work that has been peer reviewed and accepted for publication by Entrepreneurship and Regional Development, Taylor & Francis. It incorporates referee’s comments but changes resulting from the publishing process, such as copyediting, structural formatting, may not be reflected in this document. The published version is available at: [DOI: http://dx.doi.org/10.1080/08985626.2011.577816 ]