Abstract
Hybrid entrepreneurs are entrepreneurs who simultaneously work as wage earners. They constitute a systematic and large part of new firm creation. Hybrid entrepreneurs and their behavioral distinctiveness, however, have been largely neglected when estimating the impact of entrepreneurship policy on entrepreneurial activity. Analyzing a Mexican firm entry deregulation reform between 2009 and 2013, we demonstrate that hybrid entrepreneurs are much more responsive to changes in entry regulation than full-time entrepreneurs. While triggering entrepreneurship by individuals with both low and high levels of education, the effect of the reform is most pronounced among highly-educated and academic hybrid entrepreneurs.
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