Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/73125
Authors: 
Schneck, Stefan
Year of Publication: 
2011
Series/Report no.: 
Diskussionspapiere der Wirtschaftswissenschaftlichen Fakultät, Universität Hannover 486
Abstract: 
This paper uses unique German data to examine the effects of the relative standing on the individual propensity to become self-employed in the next two years. The results suggest that the relationship between relative wage positions and propensity to become self-employed is U-shaped. This is interpreted as evidence that low status translates into entrepreneurial motivation for workers in low relative wage positions. Employees with high relative standing, in turn, seem to be more concerned about the lack of future career prospects in paid employment and consider self-employment as a next step on the individual career ladder.
Subjects: 
Relative wage position
status
self-employment
JEL: 
L26
L29
Document Type: 
Working Paper

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