Financial Capital, Human Capital, and the Transition to Self-Employment : Evidence from Intergenerational Links
The environment for business creation is central to economic policy, as entrepreneurs are believed to be forces of innovation, employment and economic dynamism. We use data from the National Longitudinal Surveys (NLS) to investigate the relative importance of financial and human capital exploiting the variation provided by intergenerational links. Specifically, we estimate the impacts of parental wealth and human capital on the probability that an individual will make the transition from a wage and salary job to self-employment. We find that young men's own financial assets exert a statistically significant, but quantitatively modest effect on the transition to self-employment. In contrast, the capital of parents exerts a large influence. Parents' strongest effect runs not through financial means, but rather through human capital, i.e., the intergenerational correlation in self-employment. This link is even stronger along gender lines
Year of publication: |
[2021]
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Authors: | Dunn, Thomas A. ; Holtz-Eakin, Douglas |
Publisher: |
[S.l.] : SSRN |
Subject: | Humankapital | Human capital | Selbstständige | Self-employed | Intergenerationale Übertragung | Intergenerational transfer | Entrepreneurship | Entrepreneurship approach |
Saved in:
freely available
Extent: | 1 Online-Ressource (32 p) |
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Series: | NBER Working Paper ; No. w5622 |
Type of publication: | Book / Working Paper |
Language: | English |
Notes: | Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments June 1996 erstellt |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10013228243