This Website uses cookies. By using this website you are agreeing to our use of cookies and to the terms and conditions listed in our data protection policy. Read more

Working Paper No. 1369

Ethnic Background and the Value of Self-Employment Experience: Evidence from a Randomized Field Experiment

Working Paper
Reference
Aldén, Lina, Spencer Bastani and Mats Hammarstedt (2020). “Ethnic Background and the Value of Self-Employment Experience: Evidence from a Randomized Field Experiment ”. IFN Working Paper No. 1369. Stockholm: Research Institute of Industrial Economics (IFN).

Authors
Lina Aldén, Spencer Bastani, Mats Hammarstedt

In this paper, we use a randomized field experiment in Sweden to investigate how self-employment experience is valued in the labor market. We find that self-employment experience negatively impacts the probability of receiving a positive response from employers. For male applicants, this holds regardless of their ethnic background, and independently of whether we consider applicants with experience solely from self-employment, or applicants with a mix of experience from wage-employment and self-employment. For female applicants, the results are less clear-cut. Our findings provide input into the discussion about the impact of self-employment on the chances for natives and immigrants to obtain wage-employment.

 

Spencer Bastani

+46 (0)18 471 7077
+46 (0)73 150 7751
spencer.bastani@ifau.uu.se

Mats Hammarstedt

+46 (0)77 228 80 00
+46 (0)730 619 194
mats.hammarstedt@ifn.se