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Do Institutions Matter for Entrepreneurship?
The brief examines how institutional factors such as business regulation, property rights, and the rule of law shape the prevalence of informal entrepreneurship. It explores how informality affects individual entrepreneurs’ growth aspirations and looks at the moderating role of gender in this relationship. It suggests that policymakers focus on improving the quality of entrepreneurship by lowering barriers to formality, strengthening institutional protections, and creating incentives for entrepreneurs to scale up within the formal sector.
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