Taking a second chance: entrepreneurial restarters in Germany

Folklore has it that the comparatively low proportion of self-employed in Germany in in part due to a habit that might be termed "stigmatisation of failure": taking a second chance to build one's own firm after failing as a self-employed is said to be much more difficult here than in other countries. This paper uses data from a large recent survey in ten German planning regions to document that 18 percent of todays firm owners founded a firm in the past that went out of business in between, and that 8 percent of people who went out of business with their former firm are actively engaged in starting a new business today...