Good points! It's not only the welfare that is causing a lack of entrepreneurship. The large corporate superstores and fast food chains are also forcing out the mom and pop operators.
Edit: and sadly this is happening in developing countries as well as in the 'first world'
Yeah, true. IMO, the most heinous culprits are welfare and over-regulation. They both destroy production.
The big corporations are always going to grow. That's just business. I can't fault them, unless their activity is underhanded. It is tough to see multi-generational businesses shut down because of big box stores though. I think it's hard on the culture.