Government Bureaucracy, Transactional Impediments, and Entrepreneurial Intentions

In environments where information asymmetries and changing market conditions are ever-present, discerning between different macro-level and contextual factors that stimulate or inhibit entrepreneurial activity still needs to be validated. Utilizing our own primary data (N = 1473 across 10 countries) as well as secondary data (World Bank Economic Forum, Global Financial Data, and Transparency International), we investigate the role that several contextual indices (e.g. perceptions of an entrepreneurial culture) and macro-level indices (e.g. government corruption, GDP per capita, and ease of doing business indices) have on entrepreneurial intentions. Results reveal the impact government corruption and the concomitant transactional impediments have on the degree of entrepreneurial interest across countries.