U.S.-Germany Cooperative Research: The New Economy in Germany: Lessons from High Tech Firms Listed on the Neuer Market

Indiana University, Bloomington IN

Investigators

Abstract

0097193 Audretsch This award supports David Audretsch and students from the Indiana University-Bloomington in a collaboration with several universities in Germany, and with the Mannheim Center for European Economic Research. The project will focus on discovering what factors are generating the new wave of high-tech startup firms in Germany, in particular through the mechanism of the Neuer Markt, an new, NASDAQ-like exchange. Since little is known about entrepreneurial activity as an economic factor, the contribution of the proposed research will be great. Even in the United States, where entrepreneurship is highly valued and encouraged, there is little hard empirical data about its role in economic development. The current economic forces at work in Germany have made the creation of high-tech startup firms a focal point of public policy debate there, and has led to a broad range of reforms, privatization, and deregulation to generate entrepreneurship and a "new" economy. The proposed work will take advantage of the "Neuer Markt," which offers a new source of information on German high-tech firms. The results of this study will enable policymakers to focus on which policies and factors really influence the creation and sustainability of high-tech firms.