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What Makes an Employer?

  • As the policy debate on entrepreneurship increasingly centers on firm growth in terms of job creation, it is important to better understand which variables influence the first hiring decision and which ones influence the subsequent survival as an employer. Using the German Socio-economic Panel (SOEP), we analyze what role individual characteristics of entrepreneurs play in sustainable job creation. While human and social capital variables positively influence the hiring decision and the survival as an employer in the same direction, we show that none of the personality traits affect the two outcomes in the same way. Some traits are only relevant for survival as an employer but do not influence the hiring decision, other traits even unfold a revolving door effect, in the sense that employers tend to fail due to the same characteristics that positively influenced their hiring decision.

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Author:Marco CaliendoGND, Frank M. FossenGND, Alexander S. KritikosORCiDGND
Parent Title (English):CEPA Discussion Papers
Series (Serial Number):CEPA Discussion Papers (13)
Document Type:Working Paper
Date of first Publication:2019/11/07
Year of Completion:2019
Publishing Institution:Universität Potsdam
Release Date:2019/11/07
Tag:business venturing; employer; employment growth; entrepreneurship; firm growth; personality
RVK - Regensburg Classification:QV 578, QV 230
Organizational units:Wirtschafts- und Sozialwissenschaftliche Fakultät / Wirtschaftswissenschaften
Zentrale und wissenschaftliche Einrichtungen / Center for Economic Policy Analysis (CEPA)
Dewey Decimal Classification:3 Sozialwissenschaften / 33 Wirtschaft / 330 Wirtschaft
JEL Classification:J Labor and Demographic Economics / J2 Demand and Supply of Labor / J22 Time Allocation and Labor Supply
J Labor and Demographic Economics / J2 Demand and Supply of Labor / J23 Labor Demand
L Industrial Organization / L2 Firm Objectives, Organization, and Behavior / L26 Entrepreneurship
Peer Review:Nicht referiert
Licence (German):License LogoKeine Nutzungslizenz vergeben - es gilt das deutsche Urheberrecht