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Individual entrepreneurial exit and earnings in subsequent paid employment

Luzzi, Alessandra; Sasson, Amir
Journal article, Peer reviewed
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URI
http://hdl.handle.net/11250/2389296
Date
2016
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  • Scientific articles [1334]
Original version
Entrepreneurship: Theory and Practice, 40(2016)2: 401-420   http://dx.doi.org/10.1111/etap.12225
Abstract
We study earnings of individuals who exit entrepreneurship for paid employment. We find

mean (median) positive rewards from entrepreneurship in subsequent paid employment

relative to matched employees. Rewards are higher for former entrepreneurs hired in highly innovative sectors. We also find that the performance of the exited firm is a strong predictor of the earnings premium for former entrepreneurs when the firm performed well, while we do not find median discounts for entrepreneurs exiting low performing firms. We use registry data that encompass the population of firms and individuals in the Norwegian economy.
Description
This is the accepted and refereed manuscript to the article
Publisher
Wiley
Journal
Entrepreneurship: Theory and Practice

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