Examines how self-employment or operating a family-owned business influences income mobility for individuals and their children.
“Test[s] the notion that entrepreneurship is a path to economic advancement in the United States by comparing the income mobility of self-employed and family-business owning entrepreneurs to the income mobility of wage and salary workers, using data from the PSID [Panel Student of Income Dynamics] covering 1968–2007” (p.1). The report describes the sample of about 6,600 respondents in each year from 1968 to 2007, explains a common method of measuring income or status mobility, and uses various measures to examine the effects of self-employment and family-business ownership on income mobility. The study also questions the role of policy in supporting self-employment or family-business owning entrepreneurs and suggests parameters for cost-benefit calculations for such new polices. (Abstractor: Author and Website Staff)