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{{McNair ProjectsAcademicPaper|Project TitleHas title=The Impact of Entrepreneurship Hubs(Academic Paper)|Topic Area=Entrepreneurship Ecosystemson Urban Venture Capital Investment|OwnerHas author=Todd RachowinEd Egan, Ariel Sun|Start Term=Spring 2016|Status=Active|Deliverable=Academic PaperYael Hochberg|AudienceHas RAs=Academics|Keywords=Hubs, Incubators, Accelerators, Venture, Capital, Angel, InvestorHira Farooqi, Startups|Primary BillingHas paper status=AccNBER01Tabled

=Hubs Pages=Abstract==*This page [[Hubs (Academic Paper)]] contains only the abstract and some useful refs*The main [[Hubs]] page is the place to go!*There is also [[Old Completed Work on Hubs]]*For a high-level overview of the variables for the scorecard go to [[Hubs Scorecard (Academic Paper)]]. This summarizes:**Current work in progress for building the Hubs scorecard: [[Hubs: Hubs Scorecard]]**Tracking of work in progress for the scorecard [[Hubs: Hubs Data Building]]

This research will primarily be focused on large and mid-sized Metropolitan Statistical Areas (MSAs), as that is where the greater majority of Venture Capital funding is located. ==DataAbstract====Primary Data Set==The Hubs data set, from SDC Platinum, has been constructed in the server: Data files are in 128.42.44.181/bulk/Hubs All files are in 128.42.44.182/bulk/Projects/Hubs psql Hubs

The data set includes all United States Venture Capital transactions (moneytree) from the twentyEntrepreneurship hubs have recently emerged as a stable institutional form and as popular and important components of entrepreneurship ecosystems. Hubs are membership-based co-working flex-spaces with specialized services and resources for nascent start-five year period up firms. Examples of 1990 through 2015hubs include the Capital Factory in Austin, Texas, 1871 in Chicago, Illinois, and 1776 in Philadelphia, Pennsylvania. Data Each of these hubs has been aggregated around 50,000sqft of workspace for almost a thousand members working at the portfolio companyhundreds of start-ups. Each also includes an accelerator program, has daily events, classes and meetings related to entrepreneurship, and hosts venture capitalists, fundangel investors, and round levelservice firms. It will Hubs provide a very high degree of agglomeration. Agglomeration is particularly important in entrepreneurship because it facilitates learning and failure is frequent. Entrepreneurs can then learn from other entrepreneurs as well as industry professionals; and when a start-up based in a hub fails, the firm’s human resources can be analyzed at quickly and efficiently absorbed into another venture. We might therefore expect that the combined MSA levelintroduction of a hub will lead to a greater degree of entrepreneurial activity in a region. We This paper will be looking at use a difference-in terms -difference approach to estimate the effect of number the introduction of companies funded a hub on seed and early stage venture capital investment in number an area. The empirical methodology of funds active, the paper is closely aligned with the methodology in Fedher and flow Hochberg (2015). The decision of investment a hub to locate itself in an area is expected to be highly correlated with existing characteristics of the area, unobserved in the data, which induces a given MSAsignificant endogeneity bias in the model. To rectify this issue the methodology proceeds in two steps. In the first step, a hazard model is estimated which predicts the probability that a hub will come to an area. In the second stage these predicted probabilities are used to find a match for each treated region by finding the untreated region with the most similar probability of founding an accelerator in that year when the treated region is on the common support.

===Raw DataGeneral Overview===#Funds: fund name, first investment date, last investment date, fund closing date, address, known investment, average investment, number of companies invested, MSA, MSA code.#Rounds: round date, company name, state, round number, stage 1, stage 2, stage 3#Combined Rounds: company name, round date, disclosed amount, investor#Portfolio Companies: company name, first investment, last investment, MSA, MSA code, address, state, date founded, known funding, industry#MSA list: MSA, MSA code, CMSA, CMSA code#Industry list: changes 6 industry categories to 4— ICT, Life Sciences, Semiconductors, Other

===Additional Resources===* A general overview of entrepreneurial ecosystems can be found here: [[Entrepreneurial Ecosystem]].* Yael Hochberg and Fehder (2015), located in dropbox<includeonly>** Use this paper as a guideline on how to conduct the analysis[[Category*US Census Bureau data on employment by MSA: http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ACS_14_5YR_B23027&prodType=table*USPTO utility patents by MSA: http: McNair Projects]]//www.uspto.gov/web/offices/ac/ido/oeip/taf/cls_cbsa/allcbsa_gd.htm<*MSA level trends: http://www.metrotrends.org/includeonly><!-- flush -->data.cf