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Homo Entreprenaurus?

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  • Uusitalo, Roope

Abstract

This paper examines the determinants of self-employment and transitions from wage work to self-employment using two sets of Finnish data from the 1990?s. The results show that capital constraints have only a minor effect on new business starts. Human capital, in the form of intergenerational links in self-employment and psychological factors play a much larger role. The paper also provides empirical evidence that less risk-aversive workers are more likely to become entrepreneurs.

Suggested Citation

  • Uusitalo, Roope, 1999. "Homo Entreprenaurus?," Discussion Papers 205, VATT Institute for Economic Research.
  • Handle: RePEc:fer:dpaper:205
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    File URL: https://www.doria.fi/handle/10024/148104
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    References listed on IDEAS

    as
    1. Evans, David S & Leighton, Linda S, 1989. "Some Empirical Aspects of Entrepreneurship," American Economic Review, American Economic Association, vol. 79(3), pages 519-535, June.
    2. Blanchflower, David G & Oswald, Andrew J, 1998. "What Makes an Entrepreneur?," Journal of Labor Economics, University of Chicago Press, vol. 16(1), pages 26-60, January.
    3. Edvard Johansson, 2000. "Self-employment and the predicted earnings differential - evidence from Finland," Finnish Economic Papers, Finnish Economic Association, vol. 13(1), pages 45-55, Spring.
    4. A. D. Roy, 1951. "Some Thoughts On The Distribution Of Earnings," Oxford Economic Papers, Oxford University Press, vol. 3(2), pages 135-146.
    5. Rees, Hedley & Shah, Anup, 1986. "An Empirical Analysis of Self-employment in the U.K," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 1(1), pages 95-108, January.
    6. Johansson, Edvard, 2000. " Self-Employment and Liquidity Constraints: Evidence from Finland," Scandinavian Journal of Economics, Wiley Blackwell, vol. 102(1), pages 123-134, March.
    7. Lindh, Thomas & Ohlsson, Henry, 1996. "Self-Employment and Windfall Gains: Evidence from the Swedish Lottery," Economic Journal, Royal Economic Society, vol. 106(439), pages 1515-1526, November.
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    More about this item

    Keywords

    Entrepreneurship; credit constraints; personality tests; Economic growth; Taloudellinen kasvu; Labour market; Työmarkkinat; Labor market and policies promoting economic growth; Työmarkkinat ja kasvua tukeva politiikka; D100 - Household Behavior: General; J230 - Employment Determination; Job Creation; Demand for Labor; Self-Employment; M130 - Entrepreneurship (New Firms; Startups); O100 - Economic Development: General;

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups

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