@TechReport{iza:izadps:dp79,
            	author={Earle, John S. and Sakova, Zuzana},
            	title={Entrepreneurship from Scratch: Lessons on the Entry Decision into Self-Employment from Transition Economies},
            	year={1999},
	month={Dec},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={79},
            	url={https://www.iza.org/index.php/publications/dp79},
	abstract={This paper exploits the rapid rise in self-employment rates in post-communist Eastern Europe as a valuable "quasi-experiment" for understanding the sources of entrepreneurship. A relative demand-supply model and an individual sectoral choice model are used to analyze a 1993 survey of 27,000 adults in six transition economies. Estimated self-employment earnings premia are positive, and the data imply positive selection into both employee and self-employment status. Structural probit estimates show the probability of self-employment entry is unassociated with former Communist Party affiliation but positively related to schooling, pre-transition family income, receipt of property in restitution, pre-communist family business-holding, and predicted earnings differential. Cross-country variation in predicted self-employment entry rates and relative earnings provide evidence on the demand and supply factors affecting the decision to become an entrepreneur.},
	keywords={Entrepreneurship;self-employment;transition;small business;selection bias;structural probit Eastern Europe;Bulgaria;Czech Republic;Hungary;Poland;Russia;Slovakia},
            }