The DOI matches its Crossref record; 39 of the 39 references it cites were found in a registry or an index.
The legislative road to Silicon Valley
Open accessAbstract
Must policymakers seeking to replicate the success of Silicon Valley's venture capital market first replicate other US institutions, such as deep and liquid stock markets? Or can legal reforms alone make a significant difference? In this paper, we compare the economic and legal determinants of venture capital investment, fundraising and exits. We introduce a cross-sectional and time series empirical analysis across 15 countries and 13 years of data spanning an entire business cycle. We consider three legal variables. First, we employ an aggregate index of legal and fiscal variables that, unlike those used in previous studies, pertains specifically to venture capital. Secondly, we investigate the role of government subsidy programs designed to jump start venture capital markets. Thirdly, the paper focuses on the role of bankruptcy law, hitherto ignored in the literature. We show that the legal environment matters as much as the strength of stock markets; that government programmes more often hinder than help the development of private equity, and that temperate bankruptcy laws stimulate entrepreneurial demand for venture capital. Our results provide generalizable lessons for legal reform.
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Cites
La Porta, R., Lopez‐de‐Silanes, F., Shleifer, A., & Vishny, R. W. (1998) · Journal of Political Economy · doi:10.1086/250042 · Cited by 18,025
Legal Determinants of External Finance
LA PORTA, R., LOPEZ‐DE‐SILANES, F., SHLEIFER, A., & VISHNY, R. W. (1997) · The Journal of Finance · doi:10.1111/j.1540-6261.1997.tb02727.x · Cited by 9,783
N. Berger, A., & F. Udell, G. (1998) · Journal of Banking & Finance · doi:10.1016/s0378-4266(98)00038-7 · Cited by 3,690
The structure and governance of venture-capital organizations
Sahlman, W. A. (1990) · Journal of Financial Economics · doi:10.1016/0304-405x(90)90065-8 · Cited by 2,609
Assessing the Contribution of Venture Capital to Innovation
Kortum, S., & Lerner, J. (2000) · The RAND Journal of Economics · doi:10.2307/2696354 · Cited by 2,094
The Venture Capital Revolution
Gompers, P., & Lerner, J. (2001) · Journal of Economic Perspectives · doi:10.1257/jep.15.2.145 · Cited by 1,934
Gompers, P. A., & Lerner, J. Y. (1999) · Cited by 1,645
Venture capital and the structure of capital markets: banks versus stock markets
Black, B. S., & Gilson, R. J. (1998) · Journal of Financial Economics · doi:10.1016/s0304-405x(97)00045-7 · Cited by 1,395
The Government as Venture Capitalist: The Long‐Run Impact of the SBIR Program
Lerner, J. (1999) · The Journal of Business · doi:10.1086/209616 · Cited by 1,251
Kaplan, S., & Stromberg, P. (2000) · National Bureau of Economic Research · doi:10.3386/w7660 · Cited by 1,180
Cited by
Transnational Entrepreneurship: An Emergent Field of Study
Drori, I., Honig, B., & Wright, M. (2009) · Entrepreneurship Theory and Practice · doi:10.1111/j.1540-6520.2009.00332.x · Cited by 687
Contracts and Exits in Venture Capital Finance
Cumming, D. (2008) · Review of Financial Studies · doi:10.1093/rfs/hhn072 · Cited by 559
Formal institutions, culture, and venture capital activity: A cross-country analysis
Li, Y., & Zahra, S. A. (2012) · Journal of Business Venturing · doi:10.1016/j.jbusvent.2010.06.003 · Cited by 465
Private equity returns and disclosure around the world
Cumming, D., & Walz, U. (2010) · Journal of International Business Studies · doi:10.1057/jibs.2009.62 · Cited by 447
Bruton, G. D., Filatotchev, I., Chahine, S., & Wright, M. (2010) · Strategic Management Journal · doi:10.1002/smj.822 · Cited by 443
Metadata
- Authors
- Armour, J.
- Venue
- Oxford Economic Papers
- Publisher
- Oxford University Press (OUP)
- Published
- 2006-06-12
- Volume
- 58
- Issue
- 4
- Pages
- 596-635
- ISSN
- 0030-7653 (ISSN-L)
- 1464-3812
- OpenAlex
- W3122342511
- Cited by
- 386
- References
- 39
- FWCI
- 97.74
- Type
- journal article
- Language
- en
- Open access
- green
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
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