The Influence of Role Models on Immigrant Self-Employment: A Spatial Analysis for Switzerland
AbstractTheoretical and empirical research suggests a connection between the presence of role models and the emergence of entrepreneurs. Existing entrepreneurs may act as role models for self-employment candidates by providing successful examples. By explicitly considering the self-employment rates of the natives, which may influence locally the decisions of immigrants towards entrepreneurship, we develop a simple model that explains immigrant self-employment rates for a sample of 2,490 Swiss municipalities. In addition, we accommodate for the presence of spatial spillovers in the distribution of rates, and test a spatial autoregressive model which takes into account the average self-employment rates of immigrants living in nearby municipalities. Our evidence shows a significant (positive) effect of such spatial network effects, which are characterized by a quick distance decay, suggesting spatial spillovers at the household and social network level. Additionally, we show that local conditions and immigrant pool characteristics differ, with respect to self-employment choices, when examining separately urban and rural contexts.
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Bibliographic InfoPaper provided by USI Università della Svizzera italiana in its series Quaderni della facoltà di Scienze economiche dell'Università di Lugano with number 1010.
Length: 25 pages
Date of creation: Nov 2010
Date of revision:
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Web page: http://www.library.lu.usi.ch
immigrants; self-employment; role models; Switzerland; spatial lag;
Other versions of this item:
- Giuliano Guerra & Roberto Patuelli, 2010. "The Influence of Role Models on Immigrant Self-Employment: A Spatial Analysis for Switzerland," Working Paper Series 29_10, The Rimini Centre for Economic Analysis, revised Jan 2012.
- G. Guerra & R. Patuelli, 2011. "The Influence of Role Models on Immigrant Self-Employment: A Spatial Analysis for Switzerland," Working Papers wp745, Dipartimento Scienze Economiche, Universita' di Bologna.
- C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-12-04 (All new papers)
- NEP-ENT-2010-12-04 (Entrepreneurship)
- NEP-GEO-2010-12-04 (Economic Geography)
- NEP-MIG-2010-12-04 (Economics of Human Migration)
- NEP-SBM-2010-12-04 (Small Business Management)
- NEP-URE-2010-12-04 (Urban & Real Estate Economics)
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