A Unified Model of Entrepreneurship Dynamics
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We thank Marco Bassetto, Patrick Bolton, Cristina De Nardi, Bob Hall, Jim Hamilton, Bob Hodrick, Jingzhi Huang, Boyan Jovanovic, Dirk Krueger, Vincenzo Quadrini, Nick Roussanov (WFA discussant), Tom Sargent, Bill Schwert (Editor), Anne Villamil (CIRPEE-IVEY discussant), Laura Vincent, Annette Vissing-Jørgensen, Toni Whited, Noah Williams, James Witkin, Zhaojun Yang, and seminar participants at ASU, CIRPEE-IVEY Conference on Macroeconomics of Entrepreneurship, Columbia, TCFA, UCSD, WFA 2011, Wisconsin Madison economics and finance, PKU CCER, and SUFE, for helpful comments. We are particularly grateful to the referee, Stavros Panageas, for invaluable comments which significantly improved the exposition of the paper. Neng Wang acknowledges support by the Chazen Institute of International Business at Columbia Business School. Jinqiang Yang acknowledges support by Natural Science Foundation of China (Project No. 70971037). Part of this work was done when Yang was visiting Columbia University as a doctoral student from Hunan University. This paper was previously circulated under the title “Dynamics of entrepreneurship under incomplete markets.” The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.