Arbeitspapier

Entrepreneurial Couples

We study possible motivations for co-entrepreneurial couples to start up a joint firm, using a sample of 1,069 Danish couples that established a joint enterprise between 2001 and 2010. We compare their pre-entry characteristics, firm performance and post-dissolution private and financial outcomes with a selected set of comparable firms and couples. We find evidence that couples often establish a business together because one spouse – most commonly the female – has limited outside opportunities in the labor market. However, the financial benefits for each of the spouses, and especially the female, are larger in co-entrepreneurial firms, both during the life of the business and post-dissolution. The start-up of co-entrepreneurial firms seems therefore a sound in-vestment in the human capital of both spouses as well as in the reduction of income inequality in the household. We find no evidence of non-pecuniary benefits or costs of co-entrepreneurship.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 8186

Classification
Wirtschaft
Marriage; Marital Dissolution; Family Structure; Domestic Abuse
Entrepreneurship
Subject
entrepreneurship
motives
performance
couples
co-entrepreneurship

Event
Geistige Schöpfung
(who)
Dahl, Michael S.
van Praag, Mirjam
Thompson, Peter
Event
Veröffentlichung
(who)
Institute for the Study of Labor (IZA)
(where)
Bonn
(when)
2014

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Dahl, Michael S.
  • van Praag, Mirjam
  • Thompson, Peter
  • Institute for the Study of Labor (IZA)

Time of origin

  • 2014

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