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American Economic Review Vol. 102 No. 3 2012

Coming to America: Does Having a Developed Home Country Matter for Self-Employment in the United States?

Ruth Uwaifo Oyelere1; Willie Belton2

1 School of Economics, Georgia Institute of Technology, 221 Bobby Dodd Way, Atlanta, GA 30332 and IZA. · 2 School of Economics, Georgia Institute of Technology, 221 Bobby Dodd Way, Atlanta, GA 30332.

Abstract

This research examines the relationship between the economic status of an immigrant's home country and the probability of self-employment in the US. We find that immigrants from developing countries on average have lower self-employment probabilities relative to immigrants from developed countries. Similarly, we find a positive correlation between the current HDI of an immigrant's home country and the probability of self-employment in the US. These result are unexpected given that past research suggests immigrants from countries with high levels of self-employment (developing countries) are more likely to be self-employed in the US. We provide a possible explanation for these results.

DOI
10.1257/aer.102.3.538
Volume
102
Issue
3
Pages
538-542
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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