Ethnic origin, local labour markets and self-employment in Sweden: A Multilevel Approach

Lina Andersson (), Mats Hammarstedt (), Shakir Hussain () and Ghazi Shukur
Additional contact information
Lina Andersson: Linnaeus University, Postal: Department of Economics and Statistics, Linnaeus University, SE-351 95 Växjö, Sweden
Shakir Hussain: University of Birmingham, Postal: School of Medicine, University of Birmingham, Birmingham, United Kingdom
Authors registered in the RePEc Author Service: Lina Aldén

No 261, Working Paper Series in Economics and Institutions of Innovation from Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies

Abstract: We investigate the importance of ethnic origin and local labour markets conditions for self-employment propensities in Sweden. In line with previous research we find differences in the self-employment rate between different immigrant groups as well as between different immigrant cohorts. We use a multilevel regression approach in order to quantify the role of ethnic background, point of time for immigration and local market conditions in order to further understand differences in self-employment rates between different ethnic groups. We arrive at the following: The self-employment decision is to a major extent guided by factors unobservable in register data. Such factors might be i.e. individual entrepreneurial ability and access to financial capital. The individual’s ethnic background and point of time for immigration play a smaller role for the self-employment decision but are more important than local labour market conditions.

Keywords: Self-employment; immigrant background; local labour market (search for similar items in EconPapers)
JEL-codes: J15 R23 (search for similar items in EconPapers)
Pages: 22 pages
Date: 2011-11-11
New Economics Papers: this item is included in nep-dem, nep-ent, nep-eur, nep-iue, nep-lab, nep-lma, nep-mig and nep-ure
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Related works:
Journal Article: Ethnic origin, local labour markets and self-employment in Sweden: a multilevel approach (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:cesisp:0261

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