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Self-Employment and Conflict in Colombia

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  • Carlos Bozzoli

    ()

  • Tilman Brück

    ()

  • Nina Wald

    ()

Abstract

Many Colombians are confronted with the ongoing conflict that influences their decision making in everyday life, including their behavior in labor markets. This study focuses on the impact of violent conflict on self-employment, enlarging the usual determinants with a set of conflict variables. In order to estimate the effect of conflict on selfemployment, we employ fixed effects estimation. Three datasets are combined for estimation: the Familias en Acción dataset delivers information about individuals, a second dataset contains different indicators of the Colombian conflict at the municipality level and the third dataset includes taxes to measure a municipality’s economic situation. Our results show that high homicide and displacement rates in the community of origin reduces self-employment, while a high influx of displaced increases the probability of self-employment in the destination municipality.

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File URL: http://www.microconflict.eu/publications/RWP43_CB_TB_NW.pdf
File Function: First version, 2011
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Bibliographic Info

Paper provided by MICROCON - A Micro Level Analysis of Violent Conflict in its series Research Working Papers with number 43.

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Length: 38 pages
Date of creation: 2011
Date of revision:
Handle: RePEc:mcn:rwpapr:43

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  1. Demirguc-Kunt, Asli & Klapper, Leora F. & Panos, Georgios A., 2009. "Entrepreneurship in post-conflict transition : the role of informality and access to finance," Policy Research Working Paper Series 4935, The World Bank.
  2. Justin van der Sluis & Mirjam van Praag & Wim Vijverberg, 2005. "Entrepreneurship Selection and Performance: A Meta-Analysis of the Impact of Education in Developing Economies," World Bank Economic Review, World Bank Group, vol. 19(2), pages 225-261.
  3. Camilo Mondragón-Vélez & Ximena Peña, 2010. "Business Ownership and Self-Employment in Developing Economies: The Colombian Case," NBER Chapters, in: International Differences in Entrepreneurship, pages 89-127 National Bureau of Economic Research, Inc.
  4. Justin van der Sluis & Mirjam van Praag & Wim Vijverberg, 2003. "Entrepreneurship Selection and Performance," Tinbergen Institute Discussion Papers 03-046/3, Tinbergen Institute, revised 24 Sep 2004.
  5. Sindy A. González & Héctor J. Villarreal, 2006. "More Pushed than Pulled: Self-employment in rural Mexico ten years after NAFTA," Working Papers 20063, Escuela de Graduados en Administración Pública y Políticas Públicas, Campus Monterrey, revised Nov 2006.
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Cited by:
  1. Maren M. Michaelsen, 2012. "Mental Health and Labour Supply: Evidence from Mexico’s Ongoing Violent Conflicts," HiCN Working Papers 117, Households in Conflict Network.
  2. Tilman Brück & Fernanda Llussá & José Tavares, 2010. "Perceptions, Expectations, and Entrepreneurship: The Role of Extreme Events," HiCN Working Papers 87, Households in Conflict Network.
  3. Silvia Jarauta Bernal, 2011. "Beyond Coping. Risk Management in the West Bank," Research Working Papers 42, MICROCON - A Micro Level Analysis of Violent Conflict.
  4. Bruck, Tilman & Naude, Wim & Verwimp, Philip, 2013. "Entrepreneurship and violent conflict in developing countries," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  5. Simoes, Nadia & Moreira, Sandrina B. & Crespo, Nuno, 2013. "Individual Determinants of Self-Employment Entry – What Do We Really Know?," MPRA Paper 48403, University Library of Munich, Germany.

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