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Gender differences in self-employment

This paper examines the factors that influence transitions into self-employment, paying particular attention to gender differences. We find that: (i) men are more responsive to the wage differential between wage/salaried employment and self-employment; (ii) liquidity constraints are more important f...

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Bibliographic Details
Published in:International review of applied economics 2005-07, Vol.19 (3), p.321-342
Main Authors: GEORGELLIS, YANNIS, WALL, HOWARD J.
Format: Article
Language:English
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Summary:This paper examines the factors that influence transitions into self-employment, paying particular attention to gender differences. We find that: (i) men are more responsive to the wage differential between wage/salaried employment and self-employment; (ii) liquidity constraints are more important for men; and (iii) the link between father's self-employment status and the probability of self-employment is stronger for men. Taken together, these results suggest that, for women, self-employment is a closer substitute for part-time work and labour-market inactivity than it is for men. We attribute such differences to the different labour market opportunities and occupational strategies of women.
ISSN:0269-2171
1465-3486
DOI:10.1080/02692170500119854