Characteristics of self-employment: A refuge from unemployment or road to entrepreneurship

This paper investigates the characteristics of self-employment in a transitional economy, drawing upon Riinvest's Labour Force and Household Survey evidence from Kosova. Findings based on multinomial logit analysis distinguish employers (i.e., business owners) from own-account workers (i.e., se...

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Bibliographic Details
Published in:Small enterprise research 2014-01, Vol.21 (1), p.33-53
Main Author: Krasniqi, Besnik A.
Format: Article
Language:English
Subjects:
Communism
Determinants of self-employment
Economic development
Economic growth
Educational attainment
Employees
Employers
Entrepreneurs
Entrepreneurship
institutions
Labor force
Labor market
Macroeconomics
Planning
Privatization
push and pull factors
Remittances
Self employment
Self-employed
Statistical analysis
Studies
Transition economies
Unemployment
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Summary:This paper investigates the characteristics of self-employment in a transitional economy, drawing upon Riinvest's Labour Force and Household Survey evidence from Kosova. Findings based on multinomial logit analysis distinguish employers (i.e., business owners) from own-account workers (i.e., selfemployed) and compare both groups to employees. The paper finds that a switch to own-account workers status is used by individuals as a fallback option to escape unemployment. Individuals may be pushed into own-account status by a lack of work opportunities. Findings also show that remittances have a negative relationship with self-employment. Statistical tests reject the pooling of any of these categories, suggesting significant differences in characteristics of employers and the self-employed.
ISSN:1321-5906
1175-0979
DOI:10.1080/13215906.2014.11082075