Social-family network and self-employment: evidence from temporary rural–urban migrants in China

Junfu Zhang and Zhong Zhao

IZA Journal of Labor & Development, 2015, vol. 4, issue 1, 1-21

Abstract: We hypothesize that individuals with a larger social-family network are more likely to choose self-employment. We test this hypothesis using data on temporary rural–urban migrants in China. The size of a migrant’s social-family network is measured by the number of relatives and friends this migrant greeted during the past Spring Festival. After controlling for endogeneity using an instrumental variable approach, our results show that a rural–urban migrant with a larger social-family network is more likely to be self-employed. This finding is robust to alternative model specifications and various restrictions on the estimation sample. Copyright Zhang and Zhao; licensee Springer. 2015

Keywords: Social-family network; Self-employment; Rural–urban migrants; China; J23; J61; D85 (search for similar items in EconPapers)
Date: 2015
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Citations: View citations in EconPapers (37)

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Working Paper: Social-Family Network and Self-Employment: Evidence from Temporary Rural-Urban Migrants in China (2011)
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DOI: 10.1186/s40175-015-0026-6

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