The best and the brightest or the least successful? Self-employment entry among male wage-earners in Sweden
This paper analyzes self-employment entry among Swedish-born male wage-earners. Is it the best and the brightest or the least successful that become self-employed? The residual from an income regression is used as an indicator of who belongs to which group. We find that both wage-earners who receive a lower income than predicted, i.e. have a negative residual, and those who receive a higher income than predicted, i.e. have a positive residual, are more likely to become self-employed than those who receive an income close to the predicted one. However, splitting self-employment into different types depending on corporate form and number of employees, we find that the self-employed are drawn from both tails of the residual distribution only if it is a matter of unincorporated firms. Wage-earners who become self-employed and start an incorporated firm are only drawn from the top of the residual distribution. Using self-employment income and turnover as measures of self-employment performance, we find a positive linear relationship between the income residual and performance. Copyright Springer Science+Business Media, LLC. 2013
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 40 (2013)
Issue (Month): 1 (January)
|Contact details of provider:|| Web page: http://www.springer.com|
|Order Information:||Web: http://www.springer.com/new+%26+forthcoming+titles+%28default%29/journal/11187/PS2|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Pernilla Andersson & Eskil Wadensjö, 2007.
"Do the unemployed become successful entrepreneurs?,"
International Journal of Manpower,
Emerald Group Publishing, vol. 28(1), pages 604 - 626, October.
- Pernilla Andersson & Eskil Wadensjö, 2007. "Do the unemployed become successful entrepreneurs?," International Journal of Manpower, Emerald Group Publishing, vol. 28(7), pages 604-626, November.
- Andrew Burke & Felix FitzRoy & Michael Nolan, 2008.
"What makes a die-hard entrepreneur? Beyond the ‘employee or entrepreneur’ dichotomy,"
Small Business Economics,
Springer, vol. 31(2), pages 93-115, August.
- Burke, Andrew & FitzRoy, Felix & Nolan, Michael A., 2006. "What Makes a Die-Hard Entrepreneur? Beyond the ‘Employee or Entrepreneur’ Dichotomy," IZA Discussion Papers 2307, Institute for the Study of Labor (IZA).
- Davidsson, Per & Henrekson, Magnus, 2002.
"Determinants of the Prevalence of Start-Ups and High-Growth Firms,"
Small Business Economics,
Springer, vol. 19(2), pages 81-104, September.
- Davidsson, Per & Henrekson, Magnus, 2000. "Determinants of the Prevalence of Start-ups and High-Growth Firms," SSE/EFI Working Paper Series in Economics and Finance 381, Stockholm School of Economics, revised 26 May 2002.
- Gielen, Anne C. & van Ours, Jan C., 2006.
"Why Do Worker-Firm Matches Dissolve?,"
IZA Discussion Papers
2165, Institute for the Study of Labor (IZA).
- George J. Borjas & Stephen G. Bronars, 1988.
"Consumer Discrimination and Self-Employment,"
NBER Working Papers
2627, National Bureau of Economic Research, Inc.
- Parker,Simon C., 2009. "The Economics of Entrepreneurship," Cambridge Books, Cambridge University Press, number 9780521728355, Junio.
- Joseph G. Altonji & Robert A. Shakotko, 1987. "Do Wages Rise with Job Seniority?," Review of Economic Studies, Oxford University Press, vol. 54(3), pages 437-459.
- Thomas B. Astebro & Jing Chen & Peter Thompson, 2011.
"Stars and Misfits: Self-Employment and Labor Market Frictions,"
- Thomas Åstebro & Jing Chen & Peter Thompson, 2011. "Stars and Misfits: Self-Employment and Labor Market Frictions," Management Science, INFORMS, vol. 57(11), pages 1999-2017, November.
- Thomas Astebro & Jing Chen & Peter Thompson, 2010. "Stars and Misfits: Self-Employment and Labor Market Frictions," Working Papers 1003, Florida International University, Department of Economics.
- Henrekson, Magnus, 2002.
"Entrepreneurship: A Weak Link in the Welfare State,"
SSE/EFI Working Paper Series in Economics and Finance
518, Stockholm School of Economics, revised 04 Mar 2005.
- Magnus Henrekson, 2005. "Entrepreneurship: a weak link in the welfare state?," Industrial and Corporate Change, Oxford University Press, vol. 14(3), pages 437-467, June.
- Bjuggren, Carl Magnus & Johansson, Dan & Stenkula, Mikael, 2010.
"Using Self-employment as Proxy for Entrepreneurship: Some Empirical Caveats,"
Ratio Working Papers
154, The Ratio Institute.
- Bjuggren, Carl Magnus & Johansson, Dan & Stenkula, Mikael, 2010. "Using Self-employment as Proxy for Entrepreneurship: Some Empirical Caveats," Working Paper Series 845, Research Institute of Industrial Economics.
- Parker,Simon C., 2009. "The Economics of Entrepreneurship," Cambridge Books, Cambridge University Press, number 9780521899604, Junio.
- von Greiff, Jenny, 2009. "Displacement and self-employment entry," Labour Economics, Elsevier, vol. 16(5), pages 556-565, October.
- Folta, Timothy B. & Delmar, Frédéric & Wennberg, Karl, 2010.
Working Paper Series
825, Research Institute of Industrial Economics.
- David G. Blanchflower, 2004. "Self-Employment: More may not be better," NBER Working Papers 10286, National Bureau of Economic Research, Inc.
- Jeff Borland & Jenny Lye, 1996. "Matching and Mobility in the Market for Australian Rules Football Coaches," ILR Review, Cornell University, ILR School, vol. 50(1), pages 143-158, October.
- David G. Blanchflower, 2000.
"Self-Employment in OECD Countries,"
NBER Working Papers
7486, National Bureau of Economic Research, Inc.
- Bishop, John H, 1990. "Job Performance, Turnover, and Wage Growth," Journal of Labor Economics, University of Chicago Press, vol. 8(3), pages 363-86, July.
- Henrekson, Magnus & Stenkula, Mikael, 2009. "Entrepreneurship and Public Policy," Working Paper Series 804, Research Institute of Industrial Economics.
When requesting a correction, please mention this item's handle: RePEc:kap:sbusec:v:40:y:2013:i:1:p:155-172. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla)or (Rebekah McClure)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.