Determinants of immigrant self-employment in Spain

Purpose – The purpose of this paper is to examine immigrant self-employment in Spain. The study aims to determine the likelihood of immigrants being self-employed, the differences between Spaniards and immigrants in terms of self-employment and differences among immigrants from different regions of...

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Bibliographic Details
Published in:International journal of manpower 2015-09, Vol.36 (6), p.895-911
Main Authors: Cueto, Begoña, Rodríguez Álvarez, Vanesa
Format: Article
Language:English
Subjects:
Economic conditions
Economic growth
Economics
Employment
Hypotheses
Immigrants
Immigration
Labor market
Labour economics
Minority & ethnic groups
Noncitizens
Self employment
Social exclusion
Tax rates
Theory
Unemployment
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Summary:Purpose – The purpose of this paper is to examine immigrant self-employment in Spain. The study aims to determine the likelihood of immigrants being self-employed, the differences between Spaniards and immigrants in terms of self-employment and differences among immigrants from different regions of origin. Design/methodology/approach – Data from the Labour Force Survey for 2005-2011 are used for a descriptive analysis of self-employment. Logit regressions allow us to study the determinants of immigrant self-employment. Findings – Unlike research conducted in other countries, the rate of immigrant self-employment in Spain is lower than that of nationals, although differences exist according to the region of origin. Men and older individuals are more likely to be self-employed. Those with higher levels of education are also more likely to be self-employed – this may be attributable to the decreased availability of skilled positions for immigrants. Research limitations/implications – The sample size does not allow for differential analyses regarding the region of origin or the existence and influence of enclaves. Practical implications – Self-employment may be an opportunity for immigrants to improve their position in the labour market, especially in the case of highly skilled workers. Originality/value – In Spain, analyses of immigrant self-employment are rare and generally focus on case studies. However, this study covers the whole population within a highly specific economic situation.
ISSN:0143-7720
1758-6577
DOI:10.1108/IJM-10-2013-0233