Industrial policy, innovative entrepreneurship, and the human capital of founders
研究意大利创业法案这一产业政策如何影响创新型企业创始人的人力资本构成，发现降低增长壁垒能吸引经验更丰富的创业者。
Abstract Prior research shows that entrepreneurship enhances economic development. However, it is becoming increasingly evident that it is not the number of new startups that matter but rather their quality. This study investigates the effect of a comprehensive industrial policy intervention targeting innovative startups, i.e., the Italian Startup Act, on the composition of innovative entrepreneurs in terms of their human capital endowment. By decomposing the impact of lowering entry and growth barriers and by comparing the “before” and the “after” of the reform, we explore if the industrial policy has modified the composition of innovative entrepreneurs in terms of their human capital characteristics. The findings indicate that the reform, and in particular lowering growth barriers, was particularly able to push individuals with a relatively higher level of industry-specific, managerial, and entrepreneurial experience towards the creation of a new innovative venture. Overall, we show that a policy reform that decreases barriers to innovative entrepreneurship may attract entrepreneurs endowed with greater specific human capital than what occurred before the reform.