Séminaire de Ozgur KARABULUT

Séminaire de Ozgur KARABULUT

Le 25 février 2025

Le prochain séminaire du GAINS aura lieu le 25 février 2025 de 10h30 à 12h00 en salle T204.

Ozgur Karabulut (Le Mans Université) présentera "The Dynamics of Multiple Business Ownership", co-écrit Alexandre Gaillard (Brown University) et Sumudu Kankanamge (Le Mans Université).

Abstract: Traditional entrepreneurship models assume that business owners are undiversified, operating a single private equity venture. However, in the data, the wealthiest 0.1% own an average of seven private businesses, while Forbes-listed individuals hold ten. Moreover, investments in multiple private equity ventures are accompanied by frequent exits, indicating a pattern of entrepreneurial experimentation with new ideas. Motivated by these observations, we develop a tractable general equilibrium model of multiple business ownership and calibrate it using micro survey data alongside records of portfolios of the very wealthy managed by a financial intermediary. We identify three key forces driving diversification among the wealthiest business owners: (i) decreasing returns to scale at the firm level, which limit the gains from concentration; (ii) risk diversification, which helps shield against firm-specific shocks; and (iii) the pursuit of higher returns through emerging opportunities. Notably, our model produces a relatively flat returns profile for private equity investments at the household level, consistent with the data, despite decreasing returns at the firm level. We find that the efficiency gains from wealth redistribution are significantly dampened compared to a conventional model that abstracts from multiple business ownership, where decreasing returns to scale play a key role.

Un lien zoom est disponible pour ceux qui ne peuvent pas assister au séminaire en présentiel:

https://univ-lemans-fr.zoom.us/j/99638021142?pwd=b4ARjaw6PAmtyClNTIYpUAUuLwCnc5.1

Meeting ID: 996 3802 1142
Passcode: 674386