Though the economic factors influencing self-employment are clearly important, they do not address the possible impact of culture either directly on self-employment or indirectly as an influence on these economic factors. Moreover, there remains a high level of unexplained variation across countries when only economic variables are taken into account. Thus, more recently, researchers have also looked toward cultural factors to explain this variation. This section reviews the basic terminology used with respect to culture, how it has been applied to entrepreneurship research, and finally how the variable of post-materialism may be thought to influence entrepreneurial activity.
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