Arbeitspapier
Financial Literacy and Self-employment
In this paper, we study the relationship between financial literacy and self-employment. We use established financial knowledge-based questions to measure financial literacy levels. The analysis shows a highly significant correlation between self-employment and financial literacy scores. To investigate the impact of financial literacy on being self-employed, we apply instrumental variable techniques based on information on economic education before entering the labour market and education of parents. Our results reveal that financial literacy positively affects the probability of being self-employed. As financial literacy is acquirable, findings suggest that entrepreneurial activities may be raised via enhancing financial knowledge.
- Language
-
Englisch
- Bibliographic citation
-
Series: IWH Discussion Papers ; No. 11/2016
- Classification
-
Wirtschaft
Economic Education and Teaching of Economics: General
Labor Demand
Human Capital; Skills; Occupational Choice; Labor Productivity
- Subject
-
financial literacy
financial sophistication
self-employment
- Event
-
Geistige Schöpfung
- (who)
-
Ćumurović, Aida
Hyll, Walter
- Event
-
Veröffentlichung
- (who)
-
Leibniz-Institut für Wirtschaftsforschung Halle (IWH)
- (where)
-
Halle (Saale)
- (when)
-
2016
- Handle
- URN
-
urn:nbn:de:gbv:3:2-53382
- Last update
-
10.03.2025, 11:42 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Ćumurović, Aida
- Hyll, Walter
- Leibniz-Institut für Wirtschaftsforschung Halle (IWH)
Time of origin
- 2016