Self-employment and windfall gains in Britain: evidence from panel data

Publication type

Journal Article

Author

Publication date

June 1, 2001

Abstract:

Liquidity constraints can prohibit potential entrepreneurs from starting up in business, can restrict the growth of existing entrepreneurial activities and, in the extreme, can result in small business failure. This paper uses British panel data to investigate the effects of relaxing liquidity constraints on self-employment through the unanticipated receipt of windfall gains. It discusses the different impacts the receipt of a windfall payment may have on self-employment. The results suggest that the size of the payment received has a positive and concave effect on the probability of entering self-employment and on the performance of an existing self-employment enterprise, consistent with the liquidity constraint hypothesis

Published in

Economica

Volume and page numbers

Volume: 68: no. 272, 539-565 , p.539 -566

DOI

http://dx.doi.org/10.1111/1468-0335.00261

Subjects

Notes

Albert Sloman Library Periodicals *restricted to Univ. Essex registered users*


Related Publications

#504822

News

Latest findings, new research

Publications search

Search all research by subject and author

Podcasts

Researchers discuss their findings and what they mean for society

Projects

Background and context, methods and data, aims and outputs

Events

Conferences, seminars and workshops

Survey methodology

Specialist research, practice and study

Taking the long view

ISER's annual report

Themes

Key research themes and areas of interest