Does gender matter for job creation? Business ownership and employment growth
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This research uses an economic growth framework to analyze the impacts of male- and female-owned firms on economic performance. To address the potential endogeneity caused by social factors that may effect both the gender composition of business owners and economic growth, we apply an instrumental variable strategy. Intriguingly, in-depth analysis yielded no evidence of positive agglomeration effects on job growth specifically from gendered measures of firm density. However, the analyses do illuminate the value of considering both the previously unexplored employer/nonemployer firm distinction as well as a gendered perspective of firm ownership in the understanding of regional growth factors. The results show that male-owned firms, particularly male-owned employer firms, have a strong, though negative, relationship to employment growth consistent with national employment trends in male-owned firms during the period of the study.
KeywordsGender Entrepreneurship Growth Employment Employer Nonemployer
JEL ClassificationsL26 R11
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