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Does Labor Diversity Promote Entrepreneurship?

Author

Listed:
  • Marianna Marino

    (École Polytechnique Fédérale de Lausanne,)

  • Pierpaolo Parrotta

    (Department of Economics and Business, Aarhus University, Denmark)

  • Dario Pozzoli

    (Department of Economics and Business, Aarhus University, Denmark)

Abstract

We find evidence that workforce educational diversity promotes entrepreneurial behavior of employees as well as the formation of new firms, whereas diversity in demographics hinders transitions to selfemployment. Ethnic diversity favors entrepreneurship in financial and business services.

Suggested Citation

  • Marianna Marino & Pierpaolo Parrotta & Dario Pozzoli, 2012. "Does Labor Diversity Promote Entrepreneurship?," Economics Working Papers 2012-04, Department of Economics and Business Economics, Aarhus University.
    • Handle: RePEc:aah:aarhec:2012-04
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    References listed on IDEAS

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    Cited by:

    1. Hoang, Trung Xuan & Nguyen, Thang Chien & Nga, Van Thi Le, 2022. "Impact of Internal Migration Diversity on Child Welfare: Evidence from Vietnam," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 63(2), pages 149-168, December.
    2. Marianna Marino & Pierpaolo Parrotta, 2015. "Self-employment: does parental cultural diversity matter?," Applied Economics Letters, Taylor & Francis Journals, vol. 22(14), pages 1108-1115, September.
    3. Parrotta, Pierpaolo & Pozzoli, Dario & Sala, Davide, 2016. "Ethnic diversity and firms' export behavior," European Economic Review, Elsevier, vol. 89(C), pages 248-263.
    4. Peter Orazem & Robert Jolly & Li Yu, 2015. "Once an entrepreneur, always an entrepreneur? The impacts of skills developed before, during and after college on firm start-ups," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-27, December.
    5. Nathan, Max, 2013. "The Wider Economic Impacts of High-Skilled Migrants: A Survey of the Literature," IZA Discussion Papers 7653, Institute of Labor Economics (IZA).
    6. Chasapopoulos, Panagiotis, 2018. "The impact of international immigration and cultural diversity on economic performance, public attitudes and political outcomes in European regions," Other publications TiSEM d4a10f2a-c1a2-4edd-9887-2, Tilburg University, School of Economics and Management.
    7. Paula Prenzel & Niels Bosma & Veronique Schutjens & Erik Stam, 2022. "Cultural diversity and innovation-oriented entrepreneurship," Papers in Evolutionary Economic Geography (PEEG) 2205, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Feb 2022.
    8. Thomas Kemeny, 2017. "Immigrant Diversity and Economic Performance in Cities," International Regional Science Review, , vol. 40(2), pages 164-208, March.
    9. Thai-Ha Le & Canh Phuc Nguyen & Manh-Tien Bui, 2023. "Is Entrepreneurship the Key to Achieving Environmental Sustainability? A Data-Driven Analysis from the Asia-Pacific Region," Sustainability, MDPI, vol. 15(19), pages 1-19, October.
    10. Marino, Marianna & Parrotta, Pierpaolo & Pozzoli, Dario, 2016. "Educational diversity and knowledge transfers via inter-firm labor mobility," Journal of Economic Behavior & Organization, Elsevier, vol. 123(C), pages 168-183.
    11. David B. Audretsch & Maksim Belitski & Julia Korosteleva, 2021. "Cultural diversity and knowledge in explaining entrepreneurship in European cities," Small Business Economics, Springer, vol. 56(2), pages 593-611, February.
    12. Dirk Dohse & Robert Gold, 2013. "Measuring Cultural Diversity at a Regional Level. WWWforEurope Working Paper No. 10," WIFO Studies, WIFO, number 46857, Juni.
    13. Baum, Matthias & Sterzing, Anke & Alaca, Neslim, 2016. "Reactions towards diversity recruitment and the moderating influence of the recruiting firms' country-of-origin," Journal of Business Research, Elsevier, vol. 69(10), pages 4140-4149.
    14. Krieger, Alexander & Block, Joern & Stuetzer, Michael, 2018. "Skill variety in entrepreneurship: A literature review and research directions," MPRA Paper 88389, University Library of Munich, Germany.
    15. Dr Max Nathan, 2013. "The wider economic impacts of high-skilled migrants: a survey of the literature," National Institute of Economic and Social Research (NIESR) Discussion Papers 413, National Institute of Economic and Social Research.
    16. Adnan Efendic & Tomasz Marek Mickiewicz & Anna Rebmann, 2013. "Growth Aspirations and Social Capital: Young Firms in a Post-Conflict Environment," UCL SSEES Economics and Business working paper series 122, UCL School of Slavonic and East European Studies (SSEES).
    17. Thomas Kemeny, 2013. "Immigrant Diversity and Economic Development in Cities: A Critical Review," SERC Discussion Papers 0149, Centre for Economic Performance, LSE.
    18. Max Nathan, 2014. "The wider economic impacts of high-skilled migrants: a survey of the literature for receiving countries," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-20, December.
    19. Nguyen, Canh Phuc & Nguyen, Bach & Duy Tung, Bui & Dinh Su, Thanh, 2021. "Economic complexity and entrepreneurship density: A non-linear effect study," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    20. Tsvetkova, Alexandra, 2016. "Do diversity, creativity and localized competition promote endogenous firm formation? Evidence from a high-tech US industry," MPRA Paper 72349, University Library of Munich, Germany.
    21. Elisabeth Bublitz & Florian Noseleit, 2014. "The skill balancing act: when does broad expertise pay off?," Small Business Economics, Springer, vol. 42(1), pages 17-32, January.

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    More about this item

    Keywords

    Labor diversity; entrepreneurship; transitions to self-employment;
    All these keywords.

    JEL classification:

    • C26 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Instrumental Variables (IV) Estimation
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship

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