• Home
  • Search
  • Smart and Illicit: Who Becomes an Entrepreneur and Do They Earn More?*
  • Open Access IconOpen Access
  • Cite Icon564
  • https://doi.org/10.1093/qje/qjw044Copy DOI Icon

Smart and Illicit: Who Becomes an Entrepreneur and Do They Earn More?*

Show More
  • Abstract
  • Literature Map
  • References
  • Citations
  • Similar Papers
Abstract

Abstract We disaggregate the self-employed into incorporated and unincorporated to distinguish between “entrepreneurs” and other business owners. We show that the incorporated self-employed and their businesses engage in activities that demand comparatively strong nonroutine cognitive abilities, while the unincorporated and their firms perform tasks demanding relatively strong manual skills. People who become incorporated business owners tend to be more educated and—as teenagers—score higher on learning aptitude tests, exhibit greater self-esteem, and engage in more illicit activities than others. The combination of “smart” and “illicit” tendencies as youths accounts for both entry into entrepreneurship and the comparative earnings of entrepreneurs. Individuals tend to experience a material increase in earnings when becoming entrepreneurs, and this increase occurs at each decile of the distribution.

Similar Papers
  • Research Article
  • Citations251

Business owners' action planning and its relationship to business success in three African countries.

  • Nov 01, 2007
  • Journal of Applied Psychology
  • Michael Frese +8
  • Research Article
  • Citations59

Smart and Illicit: Who Becomes an Entrepreneur and Does It Pay?

  • Aug 24, 2013
  • SSRN Electronic Journal
  • Ross Levine +1
  • Research Article
  • Citations3

Factors affecting accuracy in the quality control checking of fresh produce labels: A situational and laboratory‐based exploration

  • Jul 13, 2019
  • Human Factors and Ergonomics in Manufacturing & Service Industries
  • James H Smith‐Spark +3
  • PDF
  • Dissertation
  • Citations1

Alcohol Cognitions and College Student Drinking: The Moderating Effect of Executive Abilities

  • Apr 29, 2013
  • Andrea Lavigne
  • Research Article

A-250 Evidence for Language and Memory Improvements Following Right Anterior Temporal Lobectomy in a Patient with Mixed Language Dominance

  • Aug 28, 2020
  • Archives of Clinical Neuropsychology
  • Leonard S +2
  • Research Article
  • Citations3

Research on the Development of Integration of Neuroscience and Artificial Intelligence

  • Nov 01, 2019
  • IOP Conference Series: Earth and Environmental Science
  • Yue Wu
  • Conference Article
  • Citations1

Three-Level Anomaly Disposal System Model Based on Danger Theory

  • Oct 01, 2008
  • Hai-Dong Fu +1
  • Research Article
  • Citations110

The role of cognitive aptitudes for explicit language learning in the relative effects of explicit and implicit feedback

  • Jan 20, 2015
  • Bilingualism: Language and Cognition
  • Yucel Yilmaz +1
  • Book Chapter
  • Citations3

Implicit (Not Explicit) Learning Aptitude Predicts the Acquisition of Difficult (Not Easy) Structure

  • Apr 27, 2023
  • Yuichi Suzuki +2
  • Research Article
  • Citations69

Birthdate Effects on School Performance and Adjustment: A Longitudinal Study

  • Jul 01, 1986
  • The Journal of Educational Research
  • E Milling Kinard +1
  • PDF
  • Research Article
  • Citations7

Neuregulin1β improves cognitive dysfunction and up-regulates expression of p-ERK1/2 in rats with chronic omethoate poisoning.

  • Feb 07, 2015
  • Behavioral and Brain Functions
  • Lixia Rong +3
  • Conference Article

Visualization of Campus Card Consumption Data

  • Nov 01, 2022
  • Shuyuan Shang +3
  • Research Article
  • Citations46

Fragile X Syndrome in a Normal IQ Male with Learning and Emotional Problems

  • Nov 01, 1994
  • Journal of the American Academy of Child & Adolescent Psychiatry
  • Scott A Merenstein +9
  • Book Chapter
  • Citations8

Introduction: Towards an Interdisciplinary Understanding of Language Aptitude

  • Jan 01, 2018
  • Victoria Ameringer +3
  • Dataset

Basic Attributes Test (BAT): A Preliminary Comparison Between Reserve Officer Training Corps (ROTC) and Officer Training School (OTS) Pilot Candidates

  • Jan 01, 1990
  • PsycEXTRA Dataset
  • Thomas R Carretta
Cactus Communications logo

Copyright 2026 Cactus Communications. All rights reserved.