Does ‘Being Your Own Boss’ raise your chance of becoming someone else’s Boss?

Lixin Cai

Economic Analysis Letters, 2023, vol. 2, issue 4, 46-51

Abstract: Self-employment is often associated with entrepreneurship and regarded as a driver of innovation, job creation and economic growth. As such, many countries have policies to promote and support self-employment. One mechanism for self-employment to drive job growth is for sole traders to become an employer through hiring employees. However, there are few studies that investigate if solo self-employment helps the transitions into employership. Using the Understanding Society data, this study shows that in the UK labour market solo self-employment does not work as a ‘steppingstone’ to employership. This raises the question why self-employment should be promoted through public policy as in the UK and many other developed countries.

Keywords: Solo self-employment; Employership; Steppingstone effects (search for similar items in EconPapers)
Date: 2023
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