Is it a good policy to promote self-employment for job creation? Evidence from Spain

Journal of Policy Modeling

Volumn 32, Issue 6, 2010, Pages 828-842

  Congregado, Emilio ^a   Golpe, Antonio A ^a   Carmona, Mónica ^a  

^a UNIVERSITY OF HUELVA   (Spain)

Author keywords

Cointegration; Entrepreneurship; Non linearity; Self employment

Indexed keywords

EID: 78649482883     PISSN: 01618938     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jpolmod.2010.09.001     Document Type: Article

References (52)

1. Acs Z.J., Armington C. Employment growth and entrepreneurial activity in cities. Regional Studies 2004, 38(8):911-927.
2. Audretsch D.B. Entrepreneurship policy and the strategic management of places. The emergence of entrepreneurship policy 2003, 20-38. Cambridge University Press, Cambridge. D.M. Hart (Ed.).
3. Audretsch D.B., Keilbach M. Entrepreneurship capital and economic performance. Regional Studies 2004, 38:949-959.
4. Audretsch D.B., Keilbach M. The theory of knowledge spillover entrepreneurship. Journal of Management Studies 2007, 44:1242-1254.
5. Bajo O., Díaz C., Esteve V. Is the Budget deficit sustainable when fiscal policy is non-linear? The case of Spain. Journal of Macroeconomics 2006, 28:596-608.
6. Bajo O., Díaz C., Esteve V. Change of regime and Phillips curve stability: The case of Spain, 1964-2002. Journal of Policy Modeling 2007, 29(3):453-462.
7. Balke N.S., Fomby T.B. Threshold cointegration. International Economic Review 1997, 38:627-645.
8. Baumgartner H.J., Caliendo M. Turning unemployment into self-employment: Effectiveness and efficiency of two start-up programmes. Oxford Bulletin of Economics and Statistics 2008, 70(3):347-373.
9. Baumol W.J. Entrepreneurship: Productive, unproductive, and destructive. Journal of Political Economy 1990, 98(5):893-921.
10. Baumol W.J Small enterprises, large firms, productivity growth and wages. Journal of Policy Modeling 2008, 30(4):575-589.
11. Blanchflower D.G. Self-employment: More may not be better. NBER Working Paper Series, 10286 2004, National Bureau of Economic Research.
12. Burke A., Fitzroy F., Nolan M. When less is more; distinguishing between entrepreneurial choice and performance. Oxford Bulletin of Economics and Statistics 2000, 62(5):565-587.
13. Caliendo, M. & Künn, A. (2010). Start-up subsidies for the unemployed: Long-term evidence and effect heterogeneity. IZA Discussion Paper No. 4790. Institute for the Study of Labor.
14. Carroll R., Holtz-Eakin D., Rider M., Rosen H.S. Income taxes and entrepreneurs use of labor. Journal of Labor Economics 2000, 18(2):324-351.
15. Cazes, S. and Nesporova, A. (2003). Employment Protection Legislation (EPL) and its effects on Labour Market Performance. International Labour Office, High-Level Tripartite Conference on Social Dialogue Malta, Valetta, 28 February - 1 March 2003. http://www.ilo.org/public/english/region/eurpro/budapest/download/employment_protection_legislation.pdf.
16. Congregado, E., Golpe A. A. & Parker, S. C. (2009). The dynamics of entrepreneurship: Hysteresis, business cycles and government policy. IZA Discussion Paper No. 4093. Institute for the Study of Labor.
17. Cowling M., Taylor M., Mitchell P. Job creators. Manchester School 2004, 72(5):601-617.
18. Davis S.J., Haltiwanger J. Gross job creation, gross job destruction, and employment reallocation. The Quarterly Journal of Economics 1992, 107(3):819-862.
19. Dickey D.A., Fuller W.A. Distribution of the estimators for autoregressive time series with a unit roots. Journal of the American Statistical Association 1979, 74:427-431.
20. Dickey D.A., Fuller W.A. Likelihood ratio statistics for autoregressive time series with a unit roots. Econometrica 1981, 49:1057-1072.
21. Esteve V., Gil-Pareja S., Martínez-Serrano J.A., Llorca R. Threshold cointegration and nonlinear adjustment between goods and services inflation in the United States. Economic Modelling 2006, 23:1033-1039.
22. European Commission (2003). Green paper entrepreneurship in Europe. Brussels: European Commission, 21.01.2003. Document based on COM(2003) 27 final.
23. Eurostat (2009). European union labour force survey-annual results. Data available at: http://epp.eurostat.ec.europa.eu/portal/page/portal/employment_unemployment_lfs/data/database.
24. Faria, J. R., Cuestas, J. C., Mourelle, E. Entrepreneurship and unemployment: A nonlinear bidirectional causality? Economic Modelling. doi:10.1016/j.econmod.2010.01.022.
25. Faggio, G. and Nickell, S. (2006). Patterns of Work Across the OECD. CEP Discussion Paper No. 730, June.
26. Folster S. Do entrepreneurs create jobs?. Small Business Economics 2000, 14:137-148.
27. Hansen B.E., Seo B. Testing for two-regime threshold cointegration in vector error-correction models. Journal of Econometrics 2002, 110:293-318.
28. Henrekson M. Entrepreneurship and Institutions. Comparative Law and Policy Journal 2007, 28(4):717-742.
29. Hubbard R.G. Nondestructive creation: Entrepreneurship and management research in the study of growth. Journal of Policy Modeling 2008, 30(4):595-602.
30. INE Labour force survey statistics 2009, Spanish Statistical Institute, Data available at: http://www.ine.es/.
31. Iyigun M., Owen A.L. Entrepreneurs, professionals, and growth. Journal of Economic Growth 1999, 4(2):211-230.
32. Johansen S Statistical analysis of cointegration vectors. Journal of Economic Dynamics and Control 1988, 12(2):231-254.
33. Johansen S. Estimation and hypothesis testing of cointegrated vectors in Gaussian vector autoregressive models. Econometrica 1991, 59:1551-1580.
34. Johansen S. Cointegration in partial systems and the efficiency of single-equation analysis. Journal of Econometrics 1992, 52:389-402.
35. Lazear E.M. Entrepreneurship. Journal of Labor Economics 2005, 23(4):649-680.
36. Lucas R.E. On the size distribution of business firms. Bell Journal of Economics 1978, 9:508-523.
37. Mandelman F.S., Montes-Rojas G.V. Is self-employment and micro-entrepreneurship a desired outcome. World Development 2009, 37(12):1914-1925.
38. Meager N. Self-employment schemes for the unemployed in the European Community. Labour market institutions in Europe 1994, 183-242. M.E. Sharpe, New York. G. Schmid (Ed.).
39. Millán, J. M., Congregado, E., Román, C. (2010). Determinants of self-employment survival in Europe. Small Business Economics, in press, doi:10.1007/s11187-010-9260-0.
40. Murphy K.M., Shleifer A., Vishny R.W. The allocation of talent: Implications for growth. Quarterly Journal of Economics 1991, 106(2):503-530.
41. Ng S., Perron P. Lag length selection and the construction of unit root tests with good size and power. Econometrica 2001, 69:1529-1554.
42. Parker S.C. A time series model of self-employment under uncertainty. Economica 1996, 63(251):459-475.
43. Parker S.C. The economics of entrepreneurship 2009, Cambridge University Press, Cambridge.
44. Pfeiffer F., Reize F. From unemployment to self-employment-public promotion and selection. International Journal of Sociology 2000, 30(3):71-99.
45. Pfeiffer F., Reize F. Business start-ups by the unemployed-an econometric analysis based on firm data. Labour Economics 2000, 7(5):629-663.
46. Phillips P.C.B., Perron P. Testing for a Unit Root in Time Series Regression. Biometrika 1988, 75:335-346.
47. Reize F. Leaving unemployment for self-employment. ZEW Economic Studies 2004, 25. Physica-Verlag, Heidelberg.
48. Rissman, E. (2003). Self-employment as an alternative to unemployment. Working Paper Series WP-03-34. Federal Reserve Bank of Chicago.
49. Román, C., Congregado, E., & Millán, J. M. (2009). Dependent self-employment as a way to evade employment protection legislation. Small Business Economics, in press, doi:10.1007/s11187-009-9241-3.
50. Shane S. Why encouraging more people to become entrepreneurs is bad public policy?. Small Business Economics 2009, 33:141-149.
51. Taylor M.P. Survival of the fittest? An analysis of self-employment duration in Britain. The Economic Journal 1999, 109(454):C140-C155.
52. van Stel A., Carree M., Thurik A.R. The effect of entrepreneurial activity on national economic growth. Small Business Economics 2005, 24:311-321.