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The return-to-entrepreneurship puzzle

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Article
H

Hyytinen, Ari ; Ilmakunnas, Pekka ; Toivanen, Otto

Labour Economics

2013

20

January

57-67

entrepreneurship ; income ; working conditions

Finland

Business economics

http://dx.doi.org/10.1016/j.labeco.2012.11.002

English

Bibliogr.

"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."

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