One-way ticket from unemployment to entrepreneurship? Evaluation of allowance for self-employment in least developed regions

Abstract Entrepreneurship support for the unemployed is one of most common entrepreneurial policy tools small start-ups. Usually, this tool aimed at simultaneously promoting entrepreneurship as well reducing unemployment. The aim paper to examine in detail effects such an instrument least developed regions European Union (EU). At same time, however, region has been very effective unemployment rate time research. focuses, particular, on survival after and compares it with maintenance employment, general. Our results, based probit bivariate regression, suggest that gender, age, economic development amount are among important factors affecting start-ups support. differences between more less-developed sub-regions particularly pronounced certain socio-economic groups women tertiary education or married couples. We have also illustrated some aspects artificially prolong supported entrepreneurship, use a substitute dependent part-time work.