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This study first presents the most important definitions of entrepreneurship and explores their similarities and differences. Then it examines the most widely cited and used measures of entrepreneurship and discusses their strengths and weaknesses. Finally, this study explores a number of empirical indicators that could be used to create a comprehensive measure of entrepreneurship.

Entrepreneurship has become a focal point of public policy as governments at all levels have made promoting entrepreneurship a priority. However, existing research is far from conclusive in terms of providing a comprehensive definition or measure of entrepreneurship. If entrepreneurship is not comprehensively defined or measured, then it is virtually impossible to understand where and why entrepreneurship flourishes, and there is no way to assess the effectiveness of public policies aimed at entrepreneurship. Therefore, the most pressing issue for this area of study is the development of a reasonable consensus as to the meaning of entrepreneurship and a measure of entrepreneurship that is reliable and easy to understand.

To help resolve this issue, this study first presents the most important definitions of entrepreneurship and explores their similarities and differences. Then it examines the most widely cited and used measures of entrepreneurship and discusses their strengths and weaknesses. Finally, this study explores a number of empirical indicators that could be used to create a comprehensive measure of entrepreneurship.