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What Drives Self-Employment Survival for Women and Men? Evidence from Canada

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  • Kate Rybczynski

Abstract

This paper investigates the determinants of self-employment survival among women and men using the Canadian Survey of Labour and Income Dynamics. Survival is analyzed in the context of a single outcome (exiting self-employment) and in the context of multiple outcomes or competing risks (i.e. self-employment exit due to failure, versus non-failure exits). The largest detriment to survival for women is number of children. Whereas children improve survival rates for men. Non-participation in the labor force prior to starting a self-employment spell increases the probability of failure for women, but not men. Consistent with the liquidity constraint hypothesis, women who have personal wealth are less likely to exit self-employment. For women, this wealth effect does not depend on exit type. However, for men, the availability of personal wealth reduces the probability of exiting self-employment due to failure, but increases the probability of non-failure exits. Copyright Springer Science+Business Media New York 2015

Suggested Citation

  • Kate Rybczynski, 2015. "What Drives Self-Employment Survival for Women and Men? Evidence from Canada," Journal of Labor Research, Springer, vol. 36(1), pages 27-43, March.
    • Handle: RePEc:spr:jlabre:v:36:y:2015:i:1:p:27-43
    DOI: 10.1007/s12122-014-9194-4
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    Cited by:

    1. Pernilla Andersson Joona, 2018. "How does motherhood affect self-employment performance?," Small Business Economics, Springer, vol. 50(1), pages 29-54, January.
    2. Amjad Naveed & Nisar Ahmad & Rayhaneh Esmaeilzadeh & Amber Naz, 2019. "Self-Employment Dynamics of Immigrants and Natives: Individual-level Analysis for the Canadian Labour Market," Sustainability, MDPI, vol. 11(23), pages 1-22, November.
    3. Adela Luque & Maggie R. Jones, 2019. "Gender Differences in Self-employment Duration: the Case of Opportunity and Necessity Entrepreneurs," Working Papers 19-24, Center for Economic Studies, U.S. Census Bureau.
    4. Takanori Adachi & Takanori Hisada, 2017. "Gender differences in entrepreneurship and intrapreneurship: an empirical analysis," Small Business Economics, Springer, vol. 48(3), pages 447-486, March.
    5. Marc Cowling & Susan Marlow & Weixi Liu, 2020. "Gender and bank lending after the global financial crisis: are women entrepreneurs safer bets?," Small Business Economics, Springer, vol. 55(4), pages 853-880, December.
    6. Jie Wang & Zhijian Cai, 2022. "The Effect of Dependency Burden on Household Entrepreneurial Exit Behavior: Empirical Evidence from Chinese Households," Sustainability, MDPI, vol. 14(14), pages 1-15, July.
    7. Pedro Manuel Nogueira Reis & António Pedro Soares Pinto, 2022. "How Do Banking Characteristics Influence Companies’ Debt Features and Performance during COVID-19? A Study of Portuguese Firms," IJFS, MDPI, vol. 10(4), pages 1-29, October.
    8. Grashuis, Jasper, 2021. "Self-employment duration during the COVID-19 pandemic: A competing risk analysis," Journal of Business Venturing Insights, Elsevier, vol. 15(C).
    9. Marc Cowling & Susan Marlow & Weixi Liu, 0. "Gender and bank lending after the global financial crisis: are women entrepreneurs safer bets?," Small Business Economics, Springer, vol. 0, pages 1-28.

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    More about this item

    Keywords

    Self-employment; Gender; Credit constraints; Competing risks; J16; J23;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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