Financial frictions, occupational choice and economic inequality

• 成果类型: Article
• 署名作者: Allub, Lian; Erosa, Andres
• 署名单位: Universidad Carlos III de Madrid
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2018.12.003
• 发表日期: 2019
• 页码: 63-76
• 关键词: financial frictions; entrepreneurs; employers; self-employed; TFP; INEQUALITY

摘要

The Lucas (1978) model is extended to incorporate heterogeneity in working ability and a time allocation decision by entrepreneurs (work versus manage). Financial frictions distort not only the average skill of entrepreneurs but also the average skill of workers. The model economy accounts for half of the association between entrepreneurship and external finance to GDP in the data, whereas a standard span of control model explains only about one tenth. The variation in entrepreneurship is mostly due to the variation in selfemployed entrepreneurs rather than in employers. Moreover, financial frictions have larger effects on output per worker, TFP, and inequality. (C) 2018 Elsevier B.V. All rights reserved.