Credit Constraints, Job Mobility, and Entrepreneurship: Evidence from a Property Reform in China
The Review of Economics and Statistics
2012
open access
This paper provides new evidence on the impact of private property rights and employer-provided housing on entrepreneurship. I find an increase in self-employment following a reform in urban China that allowed state employees who were renting state-owned housing the opportunity to buy their homes at subsidized prices. I develop a model of job choice to test two mechanisms that might explain how the reform increased entrepreneurship. I find evidence that the reform reduced labor mobility costs and alleviated credit constraints by allowing households to capitalize on the value of the real estate.
- DOI
- 10.1162/rest_a_00160
- Volume
- 94 (2)
- Pages
- 532-551
- Language
- en
- Export
- BibTeX
- Sources
- openalex crossref