Small businesses are often referred to as the engine or the backbone of the economy. Entrepreneurs, the people who build new businesses and come up with innovative ideas, can help deter economic stagnation.

In this episode of Big World, Professor Krista Tuomi joins us to discuss entrepreneurship and startups, as well as how local governments stake a claim in the promotion of innovation (1:08). She explains how disproportionate regulation can be a barrier to small businesses (2:53) and highlights the actions cities have taken to bolster startups (4:45). Tuomi doesn’t just teach her students about entrepreneurship, she also supports entrepreneurs through her pro bono work (10:26). During her free time, Tuomi serves as a consultant to organizations like the Angel Capital Association; we ask her to define angel investors and explain how they support startups (12:01).

A class on entrepreneurship sounds like a business school course, but Tuomi discusses how the study of startups is relevant to international affairs (14:22). And what kind of personality is best suited for an entrepreneur? Tuomi’s answer may surprise you (17:20).

We ask Tuomi what five policies she would institute that would have a positive impact on the world of startups during our “Take Five” segment (7:06).