Online Appendix Tables and Figure

Transcription

1 Online Appendix Tables and Figure "Taking the Leap: The Determinants of Entrepreneurs Hiring their First Employee," Journal of Economics and Management Strategy, 26(1): 3 34, Spring Robert W. Fairlie University of California, Santa Cruz Javier Miranda U.S. Census Bureau

2 Appendix Table 1: Industry Distribution of Non-Employer Startups in Kauffman Firm Survey (2004), Non- Employer Startups in ilbd (2004), and New Non-Employer Firms in Survey of Business Owners (2007) Non-Employer Startups (KFS 2004) Non-Employer Startups (ilbd 2004) New Non-Employers (SBO 2007) Industry Percent N Percent N Percent N Other industries 1.4% % % Construction 12.1% % % Manufacturing 5.8% % % Wholesale trade 5.6% % % Retail trade 13.6% % % Transportation and warehousing 2.7% % % Information 3.4% % % Finance, insurance and real estate 10.9% % % Professional services 17.0% % % Management 10.1% % % Health and educational services 3.4% % % Entertainment, accommodation and food services 3.9% % % Other services 10.3% % % Notes: (1) The KFS sample consists of businesses with no employees at startup in (2) The ilbd consists of the universe of non-employer startups. (3) The SBO sample consists of businesses with no employees staring in 2006 or (4) Sample weights are used for the KFS and SBO estimates.

3 Appendix Table 2: Industries and Hiring Rates of First Employee among Non-Employer Startups Kauffman Firm Survey ( ) by 1 Year after Startup by 2 Years after Startup by 7 Years after Startup Industry Percent N Percent N Percent N Other industries 26.4% % % 12 Construction 42.2% % % 77 Manufacturing 45.4% % % 111 Wholesale trade 55.1% % % 44 Retail trade 36.9% % % 78 Transportation and warehousing 39.1% % % 19 Information 31.0% % % 42 Finance, insurance and real estate 25.0% % % 72 Professional services 43.5% % % 290 Management 40.2% % % 68 Health and educational services 37.5% % % 23 Entertainment, accommod. and food services 29.2% % % 36 Other services 30.3% % % 82 Note: The sample consists of businesses with no employees at startup in 2004.

4 Appendix Table 3: Owner and Firm Characteristics among Zero and Positive Revenue Non Employer Startups Kauffman Firm Survey ( ) Zero Revenue Positive Revenue Owner Characteristic White, non Hispanic Observations 73.2% Observations 88.2% African American 17.3% 5.6% Asian American 3.7% 2.1% Other race 5.4% 3.5% Hispanic 4.7% 3.4% Immigrant 9.6% 6.7% Female 33.0% 36.8% High school or less 13.2% 14.0% Some college 41.0% 40.0% College graduate 45.8% 46.0% Industry work experience >= 10 years 41.4% 42.8% Other industries 1.9% 2.0% Construction 13.1% 11.3% Manufacturing 5.3% 5.4% Wholesale trade 3.0% 4.4% Retail trade 10.9% 13.4% Transportation and warehousing 3.8% 1.4% Information 3.1% 4.1% Finance, insurance and real estate 16.3% 11.7% Professional services 14.4% 18.6% Management 8.8% 9.3% Health and educational services 4.0% 3.0% Entertainment, accommodation and food services 4.2% 4.2% Other services 11.1% 11.2% Business Assets: Zero 24.0% 4.7% Business Assets: $1 10, % 34.1% Business Assets: $10,000 25, % 18.4% Business Assets: $25, , % 25.2% Business Assets: $100,000 or more 15.3% 17.7% Patents 3.3% 1.1% Copyrights 6.7% 8.2% Trademarks 9.1% 8.6% Any intellectural property 14.7% 13.9% Hires employee next year 26.7% 21.9% Sample size Note: The sample consists of all non employer observations over sample period, 2004 to 2011.

5 Appendix Table 4: LATE Estimates of Impact of Entrepreneurship Training on Hiring Employees for Non Employer Business Owners at Baseline Treatment Control (LATE/IV Estimates) No Covars Covariates N Dependent Variable (1) (2) (3) Has any employees by W1 survey date (0.1089) (0.1108) Has any employees by W2 survey date (0.1868) (0.1802) Has any employees by W3 survey date (0.2571) (0.2988) Has any employees at W1 survey date (0.1089) (0.1108) Has any employees at W2 survey date (0.1580) (0.1546) Has any employees at W3 survey date (0.1963) (0.2267) Number of employees at W (0.4814) (0.5073) Number of employees at W (0.7251) (0.6797) Number of employees at W (1.0317) (1.3029) Notes: (1) The first stage in the IV (LATE) model regresses receipt of entrepreneurship training on treatment. The second stage regresses the listed outcome on predicted receipt of entrepreneurship training. (2) The wave 1, wave 2 and wave 3 surveys are conducted at 6, 18, and 60 months after time of application. (3) Covariates include program sites, female, race, immigrant, age, married, children, education level, household income, self employed at application, health problems, worked in family business, bad credit history, unemployment compensation, employer provided health insurance, autonomy, and risk tolerance. (4) *, **, and *** denote statistical significance at the 0.10, 0.05, and 0.01 levels, respectively.

6 Appendix Figure 1: Rates of Hiring First Employee and Going Out of Business for Non Employer Startups Kauffman Firm Survey ( ) Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 (54%) (38%) (64%) (7%) (26%) (80%) (10%) (14%) (6%) (83%) (12%) (5%) (85%) (8%) (7%) (83%) (6%) (12%) (89%) (3%) (8%)

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