@techreport{CaliendoKritikosStier2022, type = {Working Paper}, author = {Caliendo, Marco and Kritikos, Alexander and Stier, Claudia}, title = {The Influence of Start-up Motivation on Entrepreneurial Performance}, series = {CEPA Discussion Papers}, journal = {CEPA Discussion Papers}, number = {59}, issn = {2628-653X}, doi = {10.25932/publishup-57115}, url = {http://nbn-resolving.de/urn:nbn:de:kobv:517-opus4-571152}, pages = {43}, year = {2022}, abstract = {Predicting entrepreneurial development based on individual and business-related characteristics is a key objective of entrepreneurship research. In this context, we investigate whether the motives of becoming an entrepreneur influence the subsequent entrepreneurial development. In our analysis, we examine a broad range of business outcomes including survival and income, as well as job creation, expansion and innovation activities for up to 40 months after business formation. Using self-determination theory as conceptual background, we aggregate the start-up motives into a continuous motivational index. We show - based on a unique dataset of German start-ups from unemployment and non-unemployment - that the later business performance is better, the higher they score on this index. Effects are particularly strong for growth oriented outcomes like innovation and expansion activities. In a next step, we examine three underlying motivational categories that we term opportunity, career ambition, and necessity. We show that individuals driven by opportunity motives perform better in terms of innovation and business expansion activities, while career ambition is positively associated with survival, income, and the probability of hiring employees. All effects are robust to the inclusion of a large battery of covariates that are proven to be important determinants of entrepreneurial performance.}, language = {en} } @techreport{CaliendoGraeberKritikosetal.2022, type = {Working Paper}, author = {Caliendo, Marco and Graeber, Daniel and Kritikos, Alexander and Seebauer, Johannes}, title = {Pandemic Depression: COVID-19 and the Mental Health of the Self-Employed}, series = {CEPA Discussion Papers}, journal = {CEPA Discussion Papers}, number = {46}, issn = {2628-653X}, doi = {10.25932/publishup-54899}, url = {http://nbn-resolving.de/urn:nbn:de:kobv:517-opus4-548999}, pages = {65}, year = {2022}, abstract = {We investigate the effect of the COVID-19 pandemic on self-employed people's mental health. Using representative longitudinal survey data from Germany, we reveal differential effects by gender: whereas self-employed women experienced a substantial deterioration in their mental health, self-employed men displayed no significant changes up to early 2021. Financial losses are important in explaining these differences. In addition, we find larger mental health responses among self-employed women who were directly affected by government-imposed restrictions and bore an increased childcare burden due to school and daycare closures. We also find that self-employed individuals who are more resilient coped better with the crisis.}, language = {en} } @techreport{CaliendoCobbClarkPfeiferetal.2022, type = {Working Paper}, author = {Caliendo, Marco and Cobb-Clark, Deborah A. and Pfeifer, Harald and Uhlendorff, Arne and Wehner, Caroline}, title = {Managers' Risk Preferences and Firm Training Investments}, series = {CEPA Discussion Papers}, journal = {CEPA Discussion Papers}, number = {44}, issn = {2628-653X}, doi = {10.25932/publishup-53843}, url = {http://nbn-resolving.de/urn:nbn:de:kobv:517-opus4-538439}, pages = {45}, year = {2022}, abstract = {We provide the first estimates of the impact of managers' risk preferences on their training allocation decisions. Our conceptual framework links managers' risk preferences to firms' training decisions through the bonuses they expect to receive. Risk-averse managers are expected to select workers with low turnover risk and invest in specific rather than general training. Empirical evidence supporting these predictions is provided using a novel vignette study embedded in a nationally representative survey of firm managers. Risk-tolerant and risk-averse decision makers have significantly different training preferences. Risk aversion results in increased sensitivity to turnover risk. Managers who are risk-averse offer significantly less general training and, in some cases, are more reluctant to train workers with a history of job mobility. All managers, irrespective of their risk preferences, are sensitive to the investment risk associated with training, avoiding training that is more costly or targets those with less occupational expertise or nearing retirement. This suggests the risks of training are primarily due to the risk that trained workers will leave the firm (turnover risk) rather than the risk that the benefits of training do not outweigh the costs (investment risk).}, language = {en} } @techreport{CaliendoKuennMahlstedt2022, type = {Working Paper}, author = {Caliendo, Marco and K{\"u}nn, Steffen and Mahlstedt, Robert}, title = {The Intended and Unintended Effects of Promoting Labor Market Mobility}, series = {CEPA Discussion Papers}, journal = {CEPA Discussion Papers}, issn = {2628-653X}, doi = {10.25932/publishup-53522}, url = {http://nbn-resolving.de/urn:nbn:de:kobv:517-opus4-535229}, pages = {49}, year = {2022}, abstract = {Subsidizing the geographical mobility of unemployed workers may improve welfare by relaxing their financial constraints and allowing them to find jobs in more prosperous regions. We exploit regional variation in the promotion of mobility programs along administrative borders of German employment agency districts to investigate the causal effect of offering such financial incentives on the job search behavior and labor market integration of unemployed workers. We show that promoting mobility - as intended - causes job seekers to increase their search radius, apply for and accept distant jobs. At the same time, local job search is reduced with adverse consequences for reemployment and earnings. These unintended negative effects are provoked by spatial search frictions. Overall, the unconditional provision of mobility programs harms the welfare of unemployed job seekers.}, language = {en} } @techreport{CaliendoTuebbicke2021, type = {Working Paper}, author = {Caliendo, Marco and T{\"u}bbicke, Stefan}, title = {Design and Effectiveness of Start-Up Subsidies}, series = {CEPA Discussion Papers}, journal = {CEPA Discussion Papers}, number = {30}, issn = {2628-653X}, doi = {10.25932/publishup-50005}, url = {http://nbn-resolving.de/urn:nbn:de:kobv:517-opus4-500056}, pages = {20}, year = {2021}, abstract = {While a growing body of literature finds positive impacts of Start-Up Subsidies (SUS) on labor market outcomes of participants, little is known about how the design of these programs shapes their effectiveness and hence how to improve policy. As experimental variation in program design is unavailable, we exploit the 2011 reform of the current German SUS program for the unemployed which strengthened case-workers' discretionary power, increased entry requirements and reduced monetary support. We estimate the impact of the reform on the program's effectiveness using samples of participants and non-participants from before and after the reform. To control for time-constant unobserved heterogeneity as well as differential selection patterns based on observable characteristics over time, we combine Difference-in-Differences with inverse probability weighting using covariate balancing propensity scores. Holding participants' observed characteristics as well as macroeconomic conditions constant, the results suggest that the reform was successful in raising employment effects on average. As these findings may be contaminated by changes in selection patterns based on unobserved characteristics, we assess our results using simulation-based sensitivity analyses and find that our estimates are highly robust to changes in unobserved characteristics. Hence, the reform most likely had a positive impact on the effectiveness of the program, suggesting that increasing entry requirements and reducing support in-creased the program's impacts while reducing the cost per participant.}, language = {en} }