Self-employment in the midst of unemployment: the case of Spain and the United States

Alba-Ramirez, Alfonso

doi:10.1080/00036849400000001

Cited by 109 publications

(58 citation statements)

References 14 publications

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“…Third, entrants into self-employment from unemployment fare much worse than other entrants. These dynamic predictions are also consistent with prior empirical evidence: the relationship between variety and entry into self-employment has previously been studied by, inter alia, Lazear (2005), Wagner (2006), and Åstebro and Thompson (2007), while the negative consequences of a history of unemployment has been documented in Amit, Muller and Cockburn (1995), Alba-Ramirez (1994), and Andersson and Wadensjo (2007). We also tested these predictions ourselves using the Korean Labor and Income Panel Study.…”

Section: Discussionsupporting

confidence: 71%

Stars and Misfits: Self-Employment and Labor Market Frictions

2008

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Recent evidence has shown that entrants into self-employment are disproportionately drawn from the tails of the earnings and ability distributions. This observation is explained by a multi-task model of occupational choice in which frictions in the labor market induces mismatches between firms and workers, and mis-assignment of workers to tasks. The model also yields distinctive predictions relating prior work histories to earnings and to the probability of entry into self-employment. These predictions are tested with the Korean Labor and Income Panel Study, from which we find considerable support for the model. JEL Classification Codes: J24, L26.

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Section: Discussionsupporting

confidence: 71%

Stars and Misfits: Self-Employment and Labor Market Frictions

2008

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“…This indicates that increasing numbers of self-employed and unemployed people would lead to more underground economy activities. In fact, these findings are supported by several other studies on the Spanish underground economy, for example, by Ahn and de la Rica (1997) and Alba-Ramirez (1994), and by Bargain and Kwenda (2011) for other countries.…”

Section: Discussionsupporting

confidence: 78%

Size and causes of the underground economy in Spain: a correction of the record and new evidence from the MCDR approach

Pickhardt

Sardà

2013

Eur J Law Econ

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“…Age has an inverted U-shaped relationship with the probability of entering self-employment (Bates, 1995;Alba-Ramirez, 1994). Initially, age increases the likelihood that people will start their own businesses because age incorporates the positive effect of experience, but as people age, their opportunity costs rise along with higher incomes, which decreases the likelihood of selfemployment.…”

Section: Control Variablesmentioning

confidence: 99%

Antecedents of Entrepreneurial Propensity: Findings from Singapore, Hong Kong and Taiwan

Lee

Wong²,

Chua³

et al. 2007

SSRN Journal

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The existing literature identifies a number of antecedent factors that positively influence the propensity of individuals to become entrepreneurs. Key among these is self-efficacy, knowledge of other entrepreneurs and the perception of opportunities. At the same time, current research shows that fear of failure is a major deterrent factor for entrepreneurs taking the entrepreneurial plunge. Using Shane's (2003) individual-opportunity nexus framework as an overarching theory, our study examines how these antecedents and deterrent factors influence the individual's propensity to start a new business in the three East Asian economies of Singapore, Hong Kong, and Taiwan. We also test for possible differences in the variables effects on an individual's propensity to start a new business out of necessity versus the perception of opportunity. Importantly, our findings highlight significant location differences among the variables for opportunity-driven start-ups, while no significant differences were found for necessity-driven start-ups. Finally, we discuss the relevant policy implications from our findings.

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Self-employment in the midst of unemployment: the case of Spain and the United States

Cited by 109 publications

References 14 publications

Stars and Misfits: Self-Employment and Labor Market Frictions

Stars and Misfits: Self-Employment and Labor Market Frictions

Size and causes of the underground economy in Spain: a correction of the record and new evidence from the MCDR approach

Antecedents of Entrepreneurial Propensity: Findings from Singapore, Hong Kong and Taiwan

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