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

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  • Tyrowicz, Joanna

Abstract

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.

Suggested Citation

  • Tyrowicz, Joanna, 2011. "What distinguishes entrepreneurs? Evidence on the motives for self-employment," Economics Letters, Elsevier, vol. 112(3), pages 226-229, September.
  • Handle: RePEc:eee:ecolet:v:112:y:2011:i:3:p:226-229
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    References listed on IDEAS

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    1. E. Wayne Nafziger, 2008. "Entrepreneurship and Development," Chapters,in: International Handbook of Development Economics, Volumes 1 & 2, chapter 26 Edward Elgar Publishing.
    2. Naude, Wim, 2008. "Entrepreneurship in Economic Development," WIDER Working Paper Series 020, World Institute for Development Economic Research (UNU-WIDER).
    3. 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, May.
    4. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", pages 129-137.
    5. Christian Belzil, 2008. "Testing the Specification of the Mincer Wage Equation," Annals of Economics and Statistics, GENES, issue 91-92, pages 427-451.
    6. Koellinger, Philipp & Minniti, Maria, 2009. "Unemployment benefits crowd out nascent entrepreneurial activity," Economics Letters, Elsevier, vol. 103(2), pages 96-98, May.
    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. 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).
    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. Koellinger, Philipp & Minniti, Maria & Schade, Christian, 2007. ""I think I can, I think I can": Overconfidence and entrepreneurial behavior," Journal of Economic Psychology, Elsevier, vol. 28(4), pages 502-527, August.
    11. Saul Estrin & Tomasz Marek Mickiewicz, 2010. "Entrepreneurship in transition economies: the role of institutions and generational change," UCL SSEES Economics and Business working paper series 106, UCL School of Slavonic and East European Studies (SSEES).
    12. 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.
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    Cited by:

    1. Joanna Tyrowicz & Barbara Liberda & Magdalena Smyk, 2015. "Talent workers as entrepreneurs: a new approach to aspirational self-employment," Working Papers 2015-18, Faculty of Economic Sciences, University of Warsaw.
    2. repec:eee:ecolet:v:160:y:2017:i:c:p:7-11 is not listed on IDEAS

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