Science Research Management

Science Research Management ›› 2017, Vol. 38 ›› Issue (2): 44-51.

Previous Articles     Next Articles

The Allocation of Entrepreneurship between Productive and Unproductive Activities:　Empirical Study Based on Chinese data

He Xuan1， Ma Jun2， Li Shengwen3   

  1. 1. School of Economics and Trade, Guangdong University of Foreign Studies, Guangzhou 510006, Guangdong, China; 
    2. Sun Yat-Sen Business School, Sun Yat-Sen University, Guangzhou 510275, Guangdong, China; 
    3. College of Economics and Management, South China Agricultural University, Guangzhou 510642, Guangdong, China
  • Received:2015-01-06 Revised:2016-04-12 Online:2017-02-20 Published:2017-02-13

Abstract: To the individual entrepreneur, the optimal allocation of entrepreneurship is the source of wealth. For the development of economy of a country, the role of institutions in determining whether entrepreneurs will channel their efforts toward productive activities or toward unproductive activities is crucial. Based on empirical study, this paper founded that the construction of reward and taxation could alter the allocation. And the unproductive entrepreneurship is 4 times to productive entrepreneurship. The warning of this paper is that institution in China has cause over allocation of entrepreneurship into unproductive activities.

Key words: allocation of entrepreneurship, productive activity, unproductive activity, reward structure, tax