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Self-Employment among Immigrants: A Last Resort?

Kraen Blume Jensen, Mette Ejrnæs, Helena Nielsen () and Allan Würtz

Economics Working Papers from Department of Economics and Business Economics, Aarhus University

Abstract: Based on unique register data of male immigrants in Denmark, we investigate whether self- employment is used as a last resort. To identify self-employment as a last resort, we define different types of immigrants as a function of transition probabilities between wage-employment, non-employment and self-employment. The transition probabilities are estimated using discrete competing risks models controlling for unobserved heterogeneity and duration dependence. We find that for certain groups of immigrants, a large fraction can be characterized as using self- employment as a last resort.

Keywords: discrete competing risks; duration; random effects; self-employment (search for similar items in EconPapers)
JEL-codes: C23 C25 C41 J23 (search for similar items in EconPapers)
Pages: 37
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