Arbeitspapier

Hours Worked of the Self-Employed and Agglomeration

This paper investigates the causal effects of agglomeration on hours worked by the self-employed. The IV estimations instrument for urbanization and localization using the minimum distance from the work Public Use Microdata Area centroid to the United States’ coastlines and estimated industry share in 1930. The 2SLS results demonstrate that urbanization and localization decrease and increase hours worked of the self-employed, respectively. These results are mainly from outsourcing and competition, whereas sorting, simultaneity, and agglomeration wage effect are less likely to be influential. Additionally, only small business owners perceive the pressures of competition in localization economies. The young unincorporated self-employed are more likely to be affected by peer competitors, whereas the elder unincorporated perceive more pressures from large firms.

Language
Englisch

Bibliographic citation
Series: GLO Discussion Paper ; No. 199

Classification
Wirtschaft
Demographic Economics: General
Time Allocation and Labor Supply
Wage Level and Structure; Wage Differentials
Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
Size and Spatial Distributions of Regional Economic Activity
Subject
Self-employed
hours worked
urbanization
localization
competition
coastlines

Event
Geistige Schöpfung
(who)
Cai, Zhengyu
Event
Veröffentlichung
(who)
Global Labor Organization (GLO)
(where)
Maastricht
(when)
2018

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Cai, Zhengyu
  • Global Labor Organization (GLO)

Time of origin

  • 2018

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