"It's probably hindered a bunch of people from starting companies in the region"
I very much doubt it. If you were really wanting to start a company, you're not thinking, "I'd do this totally awesome thing! If only it wasn't so hard to fire people!"
You start a company with a few small people in germany somewhere.
You quickly realize that because of investment money and running a company, that running it in germany isn't that great and you move the company to the USA.
I very much doubt it. If you were really wanting to start a company, you're not thinking, "I'd do this totally awesome thing! If only it wasn't so hard to fire people!"