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Entrepreneurship and income inequality
Örebro University, Örebro University School of Business. Ratio Institute, Stockholm, Sweden.
Ratio Institute, Stockholm, Sweden.
Institute for Analytical Sociology (IAS), Linköping University, Norrköping, Sweden.
2018 (English)In: Journal of Economic Behavior and Organization, ISSN 0167-2681, E-ISSN 1879-1751, Vol. 145, p. 275-293Article in journal (Other (popular science, discussion, etc.)) Published
Abstract [en]

Entrepreneurship research highlights entrepreneurship as a simultaneous source of enhanced income mobility for some but a potential source of poverty for others. Research on inequality has furthered new types of models to decompose and problematize various sources of income inequality, but attention to entrepreneurship as an increasingly prevalent occupational choice in these models remains scant. This paper seeks to bridge these two literatures using regression-based income decomposition among entrepreneurs and paid workers distinguishing between self-employed (SE) and incorporated self-employed (ISE) individuals in Sweden. We find that the proportion of self-employed in the workforce increases income dispersion by way of widening the bottom end of the distribution, whereas the proportion of incorporated self-employed contributes to income dispersion at the top end of the distribution. Implications for research are discussed. (C) 2017 The Authors. Published by Elsevier B.V.

Place, publisher, year, edition, pages
North Holland Publishing Company , 2018. Vol. 145, p. 275-293
Keywords [en]
Inequality, Entrepreneurship, Income decomposition
National Category
Economics
Identifiers
URN: urn:nbn:se:oru:diva-76237DOI: 10.1016/j.jebo.2017.11.003ISI: 000423649900017OAI: oai:DiVA.org:oru-76237DiVA, id: diva2:1350870
Funder
Swedish Research Council, DNR 3402013-5460
Note

Funding Agencies:

European Research Council (ERC)

Royal Swedish Academy of Letters, History and Antiquities

Available from: 2019-09-12 Created: 2019-09-12 Last updated: 2019-09-13Bibliographically approved

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