The return-to-entrepreneurship puzzle

Ari Hyytinen; Pekka Ilmakunnas; Otto Toivanen

doi:10.1016/j.labeco.2012.11.002

The return-to-entrepreneurship puzzle

Ari Hyytinen, Pekka Ilmakunnas^*, Otto Toivanen

^*Corresponding author for this work

Economics, Helsinki

Research output: Contribution to journal › Article › Scientific › peer-review

56 Citations (Scopus)

Abstract

The returns to entrepreneurship are monetary and non-monetary. We offer new evidence on these returns using a large sample of male twins. Our within-twin analysis suggests that OLS estimates are downwards, and panel data estimates upwards biased. The within-twin estimates imply that entrepreneurs earn a negative earnings premium. Our within-twin analysis of non-monetary returns shows that entrepreneurs work longer hours and have greater responsibilities, but also have a greater control over their work.

Original language	English
Peer-reviewed scientific journal	Labour economics
Volume	20
Issue number	January 2013
Pages (from-to)	57-67
Number of pages	11
ISSN	0927-5371
DOIs	https://doi.org/10.1016/j.labeco.2012.11.002
Publication status	Published - 08.11.2012
MoE publication type	A1 Journal article - refereed

Keywords

511 Economics
Entrepreneurship
Earnings
Twin data
Monetary returns
Non-monetary returns
Selection

Access to Document

10.1016/j.labeco.2012.11.002

OpenUrl availability

Full text

Cite this

@article{57d624be11cb46758bbcbf006ee016ff,

title = "The return-to-entrepreneurship puzzle",

abstract = "The returns to entrepreneurship are monetary and non-monetary. We offer new evidence on these returns using a large sample of male twins. Our within-twin analysis suggests that OLS estimates are downwards, and panel data estimates upwards biased. The within-twin estimates imply that entrepreneurs earn a negative earnings premium. Our within-twin analysis of non-monetary returns shows that entrepreneurs work longer hours and have greater responsibilities, but also have a greater control over their work.",

keywords = "511 Economics, Entrepreneurship, Earnings, Twin data, Monetary returns, Non-monetary returns, Selection",

author = "Ari Hyytinen and Pekka Ilmakunnas and Otto Toivanen",

year = "2012",

month = nov,

day = "8",

doi = "10.1016/j.labeco.2012.11.002",

language = "English",

volume = "20",

pages = "57--67",

journal = "Labour economics",

issn = "0927-5371",

publisher = "Elsevier BV * North-Holland",

number = "January 2013",

}

TY - JOUR

T1 - The return-to-entrepreneurship puzzle

AU - Hyytinen, Ari

AU - Ilmakunnas, Pekka

AU - Toivanen, Otto

PY - 2012/11/8

Y1 - 2012/11/8

N2 - The returns to entrepreneurship are monetary and non-monetary. We offer new evidence on these returns using a large sample of male twins. Our within-twin analysis suggests that OLS estimates are downwards, and panel data estimates upwards biased. The within-twin estimates imply that entrepreneurs earn a negative earnings premium. Our within-twin analysis of non-monetary returns shows that entrepreneurs work longer hours and have greater responsibilities, but also have a greater control over their work.

AB - The returns to entrepreneurship are monetary and non-monetary. We offer new evidence on these returns using a large sample of male twins. Our within-twin analysis suggests that OLS estimates are downwards, and panel data estimates upwards biased. The within-twin estimates imply that entrepreneurs earn a negative earnings premium. Our within-twin analysis of non-monetary returns shows that entrepreneurs work longer hours and have greater responsibilities, but also have a greater control over their work.

KW - 511 Economics

KW - Entrepreneurship

KW - Earnings

KW - Twin data

KW - Monetary returns

KW - Non-monetary returns

KW - Selection

UR - http://www.scopus.com/inward/record.url?scp=84873137676&partnerID=8YFLogxK

U2 - 10.1016/j.labeco.2012.11.002

DO - 10.1016/j.labeco.2012.11.002

M3 - Article

AN - SCOPUS:84873137676

SN - 0927-5371

VL - 20

SP - 57

EP - 67

JO - Labour economics

JF - Labour economics

IS - January 2013

ER -

The return-to-entrepreneurship puzzle

Abstract

Keywords

Access to Document

OpenUrl availability

Other files and links

Fingerprint

Cite this