The Interactive Effect of Risk Institution and Natural Resource Abundance on Entrepreneurship Space in Selected Countries

Authors
Abolfazl Shahabadi 1
Marzieh Jafari Ghazvinian 2
Samineh Ghasemifar 3
1 Alzahra University
2 E-Campus Branch, Islamic Azad University
3 Faculty of Economics and Social Sciences, Alzahra University, Tehran
Abstract
Development of the entrepreneurship space by helping to nurture entrepreneurs and increase the attitudes, abilities and aspirstions for entrepreneurship has a positive effect on the economic and social growth of societies. Because entrepreneurship is a source of innovation, employment, and economic growth and development. Therefore, determine the factors affecting of the entrepreneurship space is important in the economics and management disciplines. In this regard, the present study attempted to investigate the interactive impact of risk institution including political, economic and financial risks and abundance of natural resources on entrepreneurship space in resource-rich selected countries during the period 2014-2018. In order to achieve this goal, the research model was estimated using panel data approach and generalized moment method in two groups of countries. The results showed that the individual impact of political, economic and financial risks and the abundance of natural resources on the entrepreneurship space in the selected countries were negative and significant. Also, the interactive impact of political, economic and financial risks with the abundance of natural resources on the entrepreneurship space in the selected countries is negative and significant. However, the estimated coefficient of their interactive impact is larger than the estimated coefficient of their individual impact. Also, the impact of control variables gender gap and unemployment rate on the entrepreneurship space is negative and significant, and the impact of intellectual property rights on the entrepreneurship space is positive and significant.
Keywords
Entrepreneurship Space
Risk Institution
Political Risk
Economic Risk
Financial Risk
Natural Resource Abundance
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