Behind the GATE experiment: Evidence on effects of and rationales for subsidized entrepreneurship training

Robert W. Fairlie, Dean Karlan, Jonathan Zinman

Research output: Contribution to journalArticlepeer-review

35 Scopus citations

Abstract

Theories of market failures and targeting motivate the promotion of entrepreneurship training programs and generate testable predictions regarding heterogeneous treatment effects from such programs. Using a large randomized evaluation in the United States, we find no strong or lasting effects on those most likely to face credit or human capital constraints, or labor market discrimination. We do find a short-run effect on business ownership for those unemployed at baseline, but this dissipates at longer horizons. Treatment effects on the full sample are also short-term and limited in scope: we do not find effects on business sales, earnings, or employees.

Original languageEnglish (US)
Pages (from-to)125-161
Number of pages37
JournalAmerican Economic Journal: Economic Policy
Volume7
Issue number2
DOIs
StatePublished - 2015

ASJC Scopus subject areas

  • Economics, Econometrics and Finance(all)

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