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Cynicism Starts Young: Age and Entrepreneurship over Transition

Author

Listed:
  • Joanna Tyrowicz

    (Faculty of Economic Sciences, University of Warsaw
    National Bank of Poland
    Rimini Center for Economic Analysis)

  • Joanna Nestorowicz

    (Faculty of Economic Sciences, University of Warsaw)

Abstract

Studies of self-employment determinants in developed market economies comprise the effects of business cycle, changing social structures or legal framework, industrial organization regulations and government policies. This paper contributes to the literature by analysing the cyclical patterns of self-employment determinants taking into account both the trends associated with the transition and the variability induced by economic and labour market fluctuations. We construct a consistent panel of entrepreneurship choice models based on consecutive quarterly labour force surveys for Poland - a country with nearly highest self-employment rates in CEECs and the EU - across the time span 1995q1-2008q4 and trace changes in the marginal effects estimators. We find that the notion of self-employment as survival strategy emphasised previously in the literature exhibits stronger in the periods of the labour market contraction. We also demonstrate that young university graduates prefer wage employment to entrepreneurship.

Suggested Citation

  • Joanna Tyrowicz & Joanna Nestorowicz, 2010. "Cynicism Starts Young: Age and Entrepreneurship over Transition," Working Papers 2010-02, Faculty of Economic Sciences, University of Warsaw.
    • Handle: RePEc:war:wpaper:2010-02
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    References listed on IDEAS

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    Cited by:

    1. Stanislaw Cichocki, 2012. "Self-employment and the business cycle: evidence from Poland," Post-Communist Economies, Taylor & Francis Journals, vol. 24(2), pages 219-239, January.
    2. Małgorzata Wosiek & Adam Czudec & Ryszard Kata, 2022. "Relationship between unemployment and new business registrations at the local level: the case of Poland," Post-Communist Economies, Taylor & Francis Journals, vol. 34(8), pages 1083-1108, November.
    3. Malgorzata Wosiek, 2021. "Unemployment and new firm formation: evidence from Polish industries at the regional level," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 16(4), pages 765-782, December.

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    More about this item

    Keywords

    self-employment; transition; cyclicality; selection models;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • P51 - Political Economy and Comparative Economic Systems - - Comparative Economic Systems - - - Comparative Analysis of Economic Systems

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