The above link is to an Atlantic story that talks about how the social safety net actually increases the chances of taking the risk of being an entrepreneur. The evidence presented in the article seems to back this idea up. It personally seems like common sense to me. A safety net is not meant to provide someone with a comfortable middle class existence. It merely allows for survival in the face of economic hardship. If one knows they can take a risk starting their own business without facing abject poverty, it seems to me they would be more willing to take that risk.