Title
Bounded rationality in business creation
Date Issued
18 November 2013
Access level
metadata only access
Resource Type
conference paper
Author(s)
Cadavid L.
Universidad Nacional de Colombia
Abstract
Many economic models have attempted to represent the dynamics of entrepreneurship, but, in general, these studies focus on specific characteristics of the phenomenon without analyzing it as a whole immersed in a social system. This paper addresses the emergence of the entrepreneurial activity in a society, in which there are diverse opportunities for both employment and entrepreneurship; in order to do that, we develop an agent-based simulation, that uses heuristics based on thresholds for decision making. We find that both economy growth and average wages increase contract entrepreneurial activity, while opportunities rate increase and failure rate decrease have a positive impact on this activity. Thus, policies aimed at reducing the failure rate will increase proportionally the rate of entrepreneurs in society, while other policies that attempt to increase the number of opportunities will have a minor impact on the rate of entrepreneurship, becoming less efficient measures.
Start page
102
End page
107
Language
English
OCDE Knowledge area
Negocios, Administración
Subjects
Scopus EID
2-s2.0-84887413817
ISBN of the container
978-162748470-1
Conference
22nd Annual Conference on Behavior Representation in Modeling and Simulation, BRiMS 2013 - Co-located with the International Conference on Cognitive Modeling
Sources of information:
Directorio de Producción Científica
Scopus