Entrepreneurship and Poverty in India
In this study, we will examine how poverty influences entrepreneurship, particularly the fragility of businesses that are run, owned, or operated by persons in poverty. Prior research theorizes that persons in poverty should attempt entrepreneurship to lift themselves out of poverty, but there has been little to no empirical data to support these claims. Economists have used natural experiments to examine how microlending and the link can transform poor communities, but that also speaks to a different research question. With data from the U.S. and India, we examine whether businesses run by the poor are more fragile than businesses run by persons not in poverty. To that end, we plan to test American and Indian subjects with survey questions which will examine a scarcity mindset, attitudes toward entrepreneurship, and other measures on the fragility of their business.
Entrepreneurship and Poverty in India
Project Team: | Ludvig Levasseur, Sohrab Soleimanof and Michael Morris |
Sponsor: | IIM Bangalore |
Project Status: | Ongoing (Initiated in January 2022) |
Area: | NSRCEL |
Abstract: | In this study, we will examine how poverty influences entrepreneurship, particularly the fragility of businesses that are run, owned, or operated by persons in poverty. Prior research theorizes that persons in poverty should attempt entrepreneurship to lift themselves out of poverty, but there has been little to no empirical data to support these claims. Economists have used natural experiments to examine how microlending and the link can transform poor communities, but that also speaks to a different research question. With data from the U.S. and India, we examine whether businesses run by the poor are more fragile than businesses run by persons not in poverty. To that end, we plan to test American and Indian subjects with survey questions which will examine a scarcity mindset, attitudes toward entrepreneurship, and other measures on the fragility of their business. |