The Impact of Securities Regulation on Financial Development and Entrepreneurship

一个经济体的增长和创新产出取决于其创业活动的规模和广度。 与其他大型企业不同，小型创业企业在成长和生存方面面临着独特的障碍。 其中一个障碍是获得资本的机会有限。 该研究项目将研究国家法律对地方金融发展、经济增长和创业活动的影响。总体目标是了解管理小公司筹集资本的法规如何影响这些公司的结果。该项目将建立一个数据库，描述和量化美国企业筹集股权资本的监管水平。对数据的实证分析将指导旨在支持创业活动的政策，与大型老牌企业相比，创业型企业面临更昂贵的外部融资，因为它们的创新、高增长目标本身存在信息不完善的问题，如激励问题或逆向选择。因此，传统的银行或信贷融资往往无法获得，这些公司必须筹集股权或非传统融资，以提供激励和监督解决方案。因此，股权市场法规和证券法会影响创业企业的融资约束。从世纪初到20世纪90年代中期，美国各州是这些市场的主要监管者。 在这段时间的大部分时间里，他们的法律在各州之间和各州内部的复杂性上都表现出了显著的差异。 该项目旨在对这些法律进行记录和分类，研究其起源，并最终通过检查对创业公司的影响来调查其对资本市场和经济成果的影响。该奖项反映了NSF的法定使命，并通过使用基金会的知识价值和更广泛的影响审查标准进行评估而被认为值得支持。

AbstractAn economy's growth and innovative output depends on the size and breadth of its entrepreneurial activity. Unlike its large firm peers, the small entrepreneurial firm faces unique impediments to its growth and survival. One such impediment is limited access to capital. This research project will study the impact of state laws regulating capital raising on local financial development, economic growth and entrepreneurial activity. The overarching goal is to understand how regulations that govern raising of capital by small firms affects those firms' outcomes. The project will produce a database describing and quantifying the levels of regulation for equity capital raising by U.S. businesses. Empirical analysis of the data will guide policies that seek to support entrepreneurial activity.Compared to large, established firms, entrepreneurial firms face more costly external finance because of the informational imperfections inherent in their innovative, high-growth objectives such as incentive issues or adverse selection. Traditional bank or credit financing is therefore often unavailable, and these firms instead must raise equity or non-traditional financing that provide incentive and monitoring solutions. Thus, equity market regulations and securities laws will impact the entrepreneurial firm financing constraints. From the early 20th century to the mid-1990s, individual U.S. states were the main regulators of these markets. Their laws exhibited significant variation in complexity both across and within states for much of that time. This project aims to document and categorize these laws, study their origination and finally, investigate their consequences for the capital markets and economic outcomes by examining the effects on entrepreneurial firms.This award reflects NSF's statutory mission and has been deemed worthy of support through evaluation using the Foundation's intellectual merit and broader impacts review criteria.