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The Effect of Ability on Young Men's Self-Employment Decision: Evidence from the NELS

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  • Ozkan Eren
  • Ozan Sula

Abstract

Using the National Educational Longitudinal Study data, we examine the role of pre-market abilities, as well as other determinants, on young men’s self-employment decision. Our results indicate that cognitive and noncognitive abilities are two important, in opposing directions, predictors of self-employment. We also find that cognitive and noncognitive abilities differ in their malleability with the latter being more malleable during adolescence. In addition, having a self-employed father, being black and family size exert large influences on self-employment probability.
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  • Ozkan Eren & Ozan Sula, 2012. "The Effect of Ability on Young Men's Self-Employment Decision: Evidence from the NELS," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 51(4), pages 916-935, October.
    • Handle: RePEc:bla:indres:v:51:y:2012:i:4:p:916-935
    DOI: 10.1111/j.1468-232X.2012.00706.x
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    4. Deniz Gevrek & Z Eylem Gevrek & Cahit Guven, 2015. "Benefits of Education at the Intensive Margin: Childhood Academic Performance and Adult Outcomes among American Immigrants," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 41(3), pages 298-328, June.
    5. Ms. Izabela Karpowicz, 2019. "Self-Employment and Support for the Dutch Pension Reform," IMF Working Papers 2019/064, International Monetary Fund.
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    7. Alexander Roth & Ivana Blažková, 2023. "Does parental socio-economic status matter for the success of start-ups of first-time founders? Evidence from Germany," Review of Applied Socio-Economic Research, Pro Global Science Association, vol. 25(1), pages 66-82, June.

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    More about this item

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • J0 - Labor and Demographic Economics - - General
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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