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Never the same after the first time: the satisfaction of the second-generation self-employed

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Author Info

  • Andrew Clark
  • Nathalie Colombier
  • David Masclet

Abstract

Purpose – It is known that the self-employed are generally more satisfied than salaried workers. The aim of this paper is to test whether this phenomenon is particularly found for the first-generation self-employed. Design/methodology/approach – French and British panel data are analysed, which include information on various measures of job satisfaction, and the respondent's parents' occupation. Job satisfaction regressions were run in which the first- and second-generation self-employed were distinguished between. Findings – The study finds that first-generation self-employed (those whose parents were not self-employed) are more satisfied overall than are the second-generation self-employed. The findings are consistent between the British and French data. Research limitations/implications – While the results are the same in the two countries considered, further validation work should extend the analysis across countries. While the authors are fairly sure that the second-generation self-employed do worse, they cannot precisely distinguish between comparison to one's parents, constrained occupational choice, and selection effects due to lower barriers to self-employment entry. Originality/value – The authors believe that this is one of the first papers to distinguish between types of self-employed in terms of their higher satisfaction. The finding that parents' labour force status continues to have a significant impact on their children's job satisfaction argues for a more systematic consideration of intergenerational factors in the analysis of labour markets.

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Bibliographic Info

Article provided by Emerald Group Publishing in its journal International Journal of Manpower.

Volume (Year): 29 (2008)
Issue (Month): 7 (November)
Pages: 591-609

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Handle: RePEc:eme:ijmpps:v:29:y:2008:i:7:p:591-609

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Related research

Keywords: Age groups; France; Job satisfaction; Parents; Self-employed workers; United Kingdom;

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References

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  1. Blanchflower, David G. & Oswald, Andrew & Stutzer, Alois, 2001. "Latent entrepreneurship across nations," European Economic Review, Elsevier, vol. 45(4-6), pages 680-691, May.
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  3. Bernard F. Lentz & David N. Laband, 1990. "Entrepreneurial Success and Occupational Inheritance among Proprietors," Canadian Journal of Economics, Canadian Economics Association, vol. 23(3), pages 563-79, August.
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  7. Bruno S. Frey & Alois Stutzer, 2001. "What Can Economists Learn from Happiness Research?," CESifo Working Paper Series 503, CESifo Group Munich.
  8. Clark, Andrew E. & Senik, Claudia, 2006. "The (unexpected) structure of "rents" on the French and British labour markets," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(2), pages 180-196, April.
  9. Dunn, Thomas & Holtz-Eakin, Douglas, 2000. "Financial Capital, Human Capital, and the Transition to Self-Employment: Evidence from Intergenerational Links," Journal of Labor Economics, University of Chicago Press, vol. 18(2), pages 282-305, April.
  10. Clark, Andrew E. & Oswald, Andrew J. & Warr, Peter B., 1994. "Is job satisfaction u-shaped in age ?," CEPREMAP Working Papers (Couverture Orange) 9407, CEPREMAP.
  11. Sousa-Poza, Alfonso & Sousa-Poza, Andres A, 2000. "Taking Another Look at the Gender/Job-Satisfaction Paradox," Kyklos, Wiley Blackwell, vol. 53(2), pages 135-52.
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  14. Stefan Boes & Kevin Staub & Rainer Winkelmann, 2007. "Hedonic Adaptation to Living Standards and the Hidden Cost of Parental Income," SOI - Working Papers 0713, Socioeconomic Institute - University of Zurich.
  15. Olivier Marchand, 1998. "Salariat et non-salariat dans une perspective historique," Économie et Statistique, Programme National Persée, vol. 319(1), pages 3-11.
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  17. Evans, David S & Jovanovic, Boyan, 1989. "An Estimated Model of Entrepreneurial Choice under Liquidity Constraints," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 808-27, August.
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  19. Andrew Clark, 1995. "L'utilité est-elle relative ? Analyse à l'aide de données sur les ménages," Économie et Prévision, Programme National Persée, vol. 121(5), pages 151-164.
  20. Thomas Dunn & Douglas Holtz-Eakin, 2000. "Financial Capital, Human Capital, and the Transition to Self-Employment:Evidence from Intergenerational Links," NBER Working Papers 5622, National Bureau of Economic Research, Inc.
  21. Blanchflower, D.G. & Oswald, A., 1991. "What Makes an Entrepreneur?," Economics Series Working Papers 99125, University of Oxford, Department of Economics.
  22. Carroll, Glenn R. & Mosakowski, Elaine M., 1987. "The Career Dynamics of Self-Employment," Institute for Research on Labor and Employment, Working Paper Series qt13p1n10b, Institute of Industrial Relations, UC Berkeley.
  23. Kaufmann, Patrick J., 1999. "Franchising and the choice of self-employment," Journal of Business Venturing, Elsevier, vol. 14(4), pages 345-362, July.
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  25. Lazear, Edward P & Moore, Robert L, 1984. "Incentives, Productivity, and Labor Contracts," The Quarterly Journal of Economics, MIT Press, vol. 99(2), pages 275-96, May.
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