Labour Market Trajectories of the Self-employed in the Netherlands

Elisabeth Beusch () and Arthur Soest
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Elisabeth Beusch: Tilburg University
Arthur Soest: Tilburg University

De Economist, 2020, vol. 168, issue 1, No 5, 109-146

Abstract: Abstract This paper employs sequence analysis to study the labour market trajectories of the self-employed. Using Dutch administrative data on more than 50,000 individuals including 13,000 with self-employment experience between 1989 and 2017, we find seven different clusters with distinct life-cycle patterns of several types of self-employment, wage employment, and non-employment. We find large heterogeneity across clusters in terms of income, wealth, and pension accumulation. In particular, the clusters of individuals with short self-employment spells but little labour market attachment in other periods are an economically vulnerable group, whereas those who are persistently self-employed are not worse off than employees.

Keywords: Sequence analysis; Self-employment; Pensions; Life-cycle (search for similar items in EconPapers)
JEL-codes: D15 J23 J32 J62 L26 (search for similar items in EconPapers)
Date: 2020
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DOI: 10.1007/s10645-020-09358-x

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