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Entrepreneurship: Origins and Returns

Helge Berglann (), Espen Moen (), Knut Røed () and Jens Fredrik Skogstrøm ()
Additional contact information
Helge Berglann: Norwegian Agricultural Economics Research Institute (NILF)
Jens Fredrik Skogstrøm: Ragnar Frisch Centre for Economic Research

No 4250, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We examine the origins and outcome of entrepreneurship on the basis of exceptionally comprehensive Norwegian matched worker-firm-owner data. In contrast to most existing studies, our notion of entrepreneurship not only comprises self-employment, but also employment in partly self-owned limited liability firms. Based on this extended entrepreneurship concept, we find that entrepreneurship tends to be profitable. It also raises income uncertainty, but the most successful quartile gains much more than the least successful quartile loses. Key determinants of the decision to become an entrepreneur are occupational qualifications, family resources, gender, and work environments. Individual unemployment encourages, while aggregate unemployment discourages entrepreneurship.

Keywords: self-employment; entrepreneurship; spin-offs (search for similar items in EconPapers)
JEL-codes: L26 M13 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-ent and nep-lab
Date: 2009-06
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Published in: Labour Economics, 2011, 18 (2), 180-193

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Journal Article: Entrepreneurship: Origins and returns (2011) Downloads
Working Paper: Entrepreneurship: Origins and Returns (2009) Downloads
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