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What distinguishes entrepreneurs? Evidence on the motives for self-employment

  • Tyrowicz, Joanna

Previous studies distinguish between "survival" and "aspirations" based on ex ante declarations. In this paper, we propose an identification strategy based on objective criteria. Using evidence from a standard labour force survey, we find that self-employed who switched from wage employment and created additional jobs were systematically over-compensated relative to those who did not switch and to those who switched but have not created additional jobs.

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File URL: http://www.sciencedirect.com/science/article/pii/S0165176511001765
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Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 112 (2011)
Issue (Month): 3 (September)
Pages: 226-229

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Handle: RePEc:eee:ecolet:v:112:y:2011:i:3:p:226-229
Contact details of provider: Web page: http://www.elsevier.com/locate/ecolet

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  1. Naude, Wim, 2008. "Entrepreneurship in Economic Development," Working Paper Series RP2008/20, World Institute for Development Economic Research (UNU-WIDER).
  2. Estrin, Saul & Mickiewicz, Tomasz, 2009. "Do Institutions Have a Greater Effect on Female Entrepreneurs?," IZA Discussion Papers 4577, Institute for the Study of Labor (IZA).
  3. Koellinger, Philipp & Minniti, Maria, 2009. "Unemployment benefits crowd out nascent entrepreneurial activity," Economics Letters, Elsevier, vol. 103(2), pages 96-98, May.
  4. Philipp Köllinger & Maria Minniti & Christian Schade, 2005. ""I Think I Can, I Think I Can": Overconfidence and Entrepreneurial Behavior," Discussion Papers of DIW Berlin 501, DIW Berlin, German Institute for Economic Research.
  5. Christian Belzil, 2006. "Testing the Specification of the Mincer Wage Equation," Working Papers 0608, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
  6. Marco Caliendo & Alexander S. Kritikos, 2008. "Is Entrepreneurial Success Predictable? An Ex-Ante Analysis of the Character-Based Approach," Kyklos, Wiley Blackwell, vol. 61(2), pages 189-214, 05.
  7. Minniti, Maria & Lévesque, Moren, 2008. "Recent developments in the economics of entrepreneurship," Journal of Business Venturing, Elsevier, vol. 23(6), pages 603-612, November.
  8. Berkowitz, Daniel & Jackson, John E., 2006. "Entrepreneurship and the evolution of income distributions in Poland and Russia," Journal of Comparative Economics, Elsevier, vol. 34(2), pages 338-356, June.
  9. Levesque, Moren & Minniti, Maria, 2006. "The effect of aging on entrepreneurial behavior," Journal of Business Venturing, Elsevier, vol. 21(2), pages 177-194, March.
  10. Estrin, Saul & Mickiewicz, Tomasz, 2010. "Entrepreneurship in Transition Economies: The Role of Institutions and Generational Change," IZA Discussion Papers 4805, Institute for the Study of Labor (IZA).
  11. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January.
  12. E. Wayne Nafziger, 2008. "Entrepreneurship and Development," Chapters, in: International Handbook of Development Economics, Volumes 1 & 2, chapter 26 Edward Elgar.
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