The Employees of Native and Immigrant Self-Employed
AbstractUsing unique register data for Sweden we can match self-employed persons to their employees. We analyze the national composition of the employees and ask if self-employed immigrants mainly employ workers from their home region and if self-employed natives mainly employ native workers. We find that both natives and immigrants are more likely to employ co-nationals than to employ workers with a different national background. We also analyze which factors influence the propensity to hire co-nationals. For immigrants we find that living in a municipality with a high share of co-nationals decreases the probability of employing natives, while the probability that natives employ immigrants increases with the immigrant share in the municipality. We find that the probability for immigrants to hire native workers increases with time spent in Sweden. This result points to that the proximity to people from the same region and possibly also one’s network plays an important role for the employment decisions for both self-employed natives and immigrants.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 3147.
Length: 38 pages
Date of creation: Nov 2007
Date of revision:
Publication status: published in: Research in Labor Economics, 2009, 29, 229 - 250
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Find related papers by JEL classification:
- J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-11-24 (All new papers)
- NEP-ENT-2007-11-24 (Entrepreneurship)
- NEP-LAB-2007-11-24 (Labour Economics)
- NEP-MIG-2007-11-24 (Economics of Human Migration)
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