Changes

The Penn State study found that an increase of one standard deviation in student debt uses results in a decrease of 70 new small businesses per county, a decline of approximately 14.4%. While student debt is used to fund increases in human capital (education), the utilization of student debt reduces an individual's ability to access other forms of credit. As a result, the study's findings suggest a debt trade-off in which larger amounts of student debt lower an individual's ability to start a new business. Penn State's study found that an increase of one standard deviation in student debt uses results in a decrease of 70 new small businesses per county, a decline of approximately 14.4%. [http://poseidon01.ssrn.com/delivery.php?ID=250070119116011113124099103112018099029051017051045044067089002120116105111114122091055102119102108111124001067027106101088127010005061051067105078103112127022029065052114071094113003125125064112116102099068082028078069030125114010072077114106025&EXT=pdf]