The creation and evolution of entrepreneurial public markets

• 成果类型: Article
• 署名作者: Bernstein, Shai; Dev, Abhishek; Lerner, Josh
• 署名单位: Stanford University; National Bureau of Economic Research; Harvard University
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2019.10.002
• 发表日期: 2020
• 页码: 307-329
• 关键词: Initial public offering; venture capital; INNOVATION; Start-up

摘要

This paper explores the creation and evolution of new stock exchanges around the world geared toward entrepreneurial companies, known as second-tier exchanges. Using handcollected novel data, we show the proliferation of these exchanges in many countries, their significant volume of Initial Public Offerings (IPOs), and lower listing requirements. Shareholder protection strongly predicted exchange success, even in countries with high levels of venture capital activity, patenting, and financial market development. Better shareholder protection allowed younger, less-profitable, but faster-growing, companies to raise more capital. These results highlight the importance of institutions in enabling the provision of entrepreneurial capital to young companies. (C) 2019 Published by Elsevier B.V.