2017

Gross, Net, and New Job Creation by Entrepreneurs

Reprint No. 2017:52

Author(s): Thomas Åstebro and Joacim TågYear: 2017 Title: Journal of Business Venturing Insights Volume (No.): 8 (November) Pages: 64–70
Online article (restrictions may apply)

Gross, Net, and New Job Creation by Entrepreneurs Thomas Åstebro and Joacim Tåg


Using a dataset with over 24 million year-employment observations and the universe of more than 230,000 entries into entrepreneurship in one economy we analyze the gross (including the founders), net (excluding the founders), and new (jobs to the former unemployed or those outside the labor force) job creation by entrepreneurs two and six years after start-up. These novel measures of job creation show that the average entrepreneur does not create any jobs for any other than him/her-self, and typically arrives from having another job. Thus, short term job creation by entrepreneurs involves a reshuffling of jobs from older to new firms rather than creating new jobs.


Reference:
Åstebro, Thomas and Joacim Tåg (2017), "Gross, Net, and New Job Creation by Entrepreneurs". Journal of Business Venturing Insights 8(November), 64–70.

Joacim Tåg

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Ph: +46 8 665 4524
joacim.tag@ifn.se

Thomas Åstebro

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Ph: +33 1 39677483
astebro@hec.fr

Interdisciplinary European Studies

The European Union in a Changing World Order

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This book explores how the European Union responds to the ongoing challenges to the liberal international order. These challenges arise both within the EU itself and beyond its borders, and put into question the values of free trade and liberal democracy. 

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