Gross, Net, and New Job Creation by Entrepreneurs

Thomas Astebro and Joacim Tåg

No 1188, HEC Research Papers Series from HEC Paris

Abstract: Using a dataset with over 24 million observations and the universe of more than 230,000 entries into entrepreneurship we analyze the gross (including the founders), net (excluding the founders), and new (jobs to the former unemployed or those outside the labor force) job creation by entrepreneurs two and six years after start-up. These novel measures of job creation shows that the average entrepreneur does not create any jobs for any other than him/her-self, and typically arrives from having another job. Thus, short term job creation by entrepreneurs involves a reshuffling of jobs from older to new firms rather than creating new jobs.

Keywords: Entrepreneurship; job creation; incorporation; occupational choice; self-employment; sole proprietorship (search for similar items in EconPapers)
JEL-codes: J24 L26 (search for similar items in EconPapers)
Pages: 15 pages
Date: 2017-02-01, Revised 2017-06-16
New Economics Papers: this item is included in nep-ino, nep-sbm and nep-tid
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Citations: View citations in EconPapers (9)

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Related works:
Journal Article: Gross, net, and new job creation by entrepreneurs (2017)
Working Paper: Gross, Net, and New Job Creation by Entrepreneurs (2017)
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Persistent link: https://EconPapers.repec.org/RePEc:ebg:heccah:1188

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