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Ethnic Background and the Value of Self-Employment Experience: Evidence from a Randomized Field Experiment

Lina Aldén, Spencer Bastani and Mats Hammarstedt ()
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Mats Hammarstedt: Linneaus University, Postal: and Research Institute of Industrial Economics (IFN), Stockholm, Sweden, https://www.ifn.se/en/researchers/affiliated-researchers/mats-hammarstedt/

No 1369, Working Paper Series from Research Institute of Industrial Economics

Abstract: In this paper, we use a randomized field experiment in Sweden to investigate how self-employment experience is valued in the labor market. We find that self-employment experience negatively impacts the probability of receiving a positive response from employers. For male applicants, this holds regardless of their ethnic background, and independently of whether we consider applicants with experience solely from self-employment, or applicants with a mix of experience from wage-employment and self-employment. For female applicants, the results are less clear-cut. Our findings provide input into the discussion about the impact of self-employment on the chances for natives and immigrants to obtain wage-employment.

Keywords: Self-employment; Wage-employment; Randomized experiment; Discrimination; Labor market outcomes (search for similar items in EconPapers)
JEL-codes: J15 J24 J71 L26 (search for similar items in EconPapers)
Pages: 24 pages
Date: 2020-11-19
New Economics Papers: this item is included in nep-ent, nep-exp, nep-lma, nep-ore and nep-ure
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Journal Article: Ethnic Background and the Value of Self‐Employment Experience: Evidence from a Randomized Field Experiment (2021) Downloads
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