Does entrepreneurship pay for women and immigrants? A 30 year assessment of the socio-economic impact of entrepreneurial activity in Germany

Hopp, Christian; Martin, Johannes (2017). Does entrepreneurship pay for women and immigrants? A 30 year assessment of the socio-economic impact of entrepreneurial activity in Germany Entrepreneurship & Regional Development, 29(5-6), pp. 517-543. Taylor & Francis 10.1080/08985626.2017.1299224

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Using data from the German Socio-Economic Panel from 1984 to 2012, we explore income effects of self-employment for females and migrants. Controlling for the selection into self-employment, we differentiate the overall earnings differential between the self-employed and the wage-employed into an endowment effect (they are equipped with characteristics that positively affect earnings in either occupation) and a treatment effect (the income effect solely due to the decision for self-employment). We find that women exhibit both a lower treatment effect and a lower endowment effect than men. Migrants benefit much more from entrepreneurial activities than Germans, having a significantly higher treatment effect. Among the countries of origin, Turkish migrants benefit the most from their self-employment decision, while southern Europeans exhibit the lowest income relevant skills.

Item Type:

Journal Article (Original Article)

Division/Institute:

Business School > Business Foundations and Methods

Name:

Hopp, Christian0000-0002-4095-092X and
Martin, Johannes

ISSN:

0898-5626

Publisher:

Taylor & Francis

Language:

English

Submitter:

Christian Hopp

Date Deposited:

22 Sep 2020 09:16

Last Modified:

21 Sep 2021 02:18

Publisher DOI:

10.1080/08985626.2017.1299224

Uncontrolled Keywords:

Entrepreneurship, gender, migration, income, SOEP

ARBOR DOI:

10.24451/arbor.11994

URI:

https://arbor.bfh.ch/id/eprint/11994

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