Displacement and self-employment entry |
| |
Authors: | Jenny von Greiff |
| |
Affiliation: | aResearch Institute of Industrial Economics (IFN), Sweden |
| |
Abstract: | Displacement is expected to decrease the reservation wage of self-employment by decreasing earnings in paid employment and increasing the probability of unemployment. This paper examines whether displacement increases the probability of self-employment using propensity score matching on Swedish register-based data. The data include all individuals displaced due to plant closures in 1987 and 1988, and a random sample of 200,000 employed individuals. The results suggest that displacement almost doubles the probability of entering self-employment the year after displacement. A sub-sample analysis indicates that individuals with a potentially worse position on the labor market react more strongly to displacement in terms of entering self-employment. |
| |
Keywords: | Displacement Self-employment Plant closure Propensity score matching |
本文献已被 ScienceDirect 等数据库收录! |