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Patterns of Self-Employment in Israel and the European Union: Findings from the Field

Received: 14 November 2022     Accepted: 28 December 2022     Published: 10 January 2023
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Abstract

Self-employment is a form of employment in which the person's income comes from his independent business activity, and not from work performed as an employee employed by an employer. Unlike an employee receiving a fixed salary from his employer, the self-employed manages his own business or acts in a legal association (such as a partnership). The self-employed business activities may be conducted in a business (office, shop, workshop, etc.), in the home of the self-employed or on the road. In this study, we explore the determinants for entry into self-employment and the emerging trends in the transition into self-employment in the European Union and in Israel over the last few decades. Although the job of the self-employed depends on his skills to develop the occupation in which he chooses to earn a living, and on the market conditions, and despite the greater economic risk associated with an independent status, many workers choose to become self-employed to make a living. In Israel, the emerging trend in self-employment has driven an increase in the participation rate of workers in the workforce. The proportion of self-employed who do not employ workers especially showed a large increase amongst the female population. In the European Union, the number of self-employed who do not employ workers was shown to increase as the age of the self-employed rises. The COVID-19 pandemic that began in 2020 affected large sectors of the economy with businesses required to close and the education system forced to shut down. A survey conducted in Israel during the COVID-19 pandemic examined the impact of the ensuing economic crisis on the self-employed. Yet, despite the disadvantages associated with self-employment, an increasing number of workers are acknowledging the advantages, driving the transition of workers to self-employment.

Published in Journal of Investment and Management (Volume 11, Issue 3)
DOI 10.11648/j.jim.20221103.11
Page(s) 51-62
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2023. Published by Science Publishing Group

Keywords

Self-Employment, Labour Market, COVID-19

References
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[20] Millán Tapia, J. M. (2009). Self-employment: a microeconometric approach.
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Cite This Article
  • APA Style

    Iyad Snunu. (2023). Patterns of Self-Employment in Israel and the European Union: Findings from the Field. Journal of Investment and Management, 11(3), 51-62. https://doi.org/10.11648/j.jim.20221103.11

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    ACS Style

    Iyad Snunu. Patterns of Self-Employment in Israel and the European Union: Findings from the Field. J. Invest. Manag. 2023, 11(3), 51-62. doi: 10.11648/j.jim.20221103.11

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    AMA Style

    Iyad Snunu. Patterns of Self-Employment in Israel and the European Union: Findings from the Field. J Invest Manag. 2023;11(3):51-62. doi: 10.11648/j.jim.20221103.11

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  • @article{10.11648/j.jim.20221103.11,
      author = {Iyad Snunu},
      title = {Patterns of Self-Employment in Israel and the European Union: Findings from the Field},
      journal = {Journal of Investment and Management},
      volume = {11},
      number = {3},
      pages = {51-62},
      doi = {10.11648/j.jim.20221103.11},
      url = {https://doi.org/10.11648/j.jim.20221103.11},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jim.20221103.11},
      abstract = {Self-employment is a form of employment in which the person's income comes from his independent business activity, and not from work performed as an employee employed by an employer. Unlike an employee receiving a fixed salary from his employer, the self-employed manages his own business or acts in a legal association (such as a partnership). The self-employed business activities may be conducted in a business (office, shop, workshop, etc.), in the home of the self-employed or on the road. In this study, we explore the determinants for entry into self-employment and the emerging trends in the transition into self-employment in the European Union and in Israel over the last few decades. Although the job of the self-employed depends on his skills to develop the occupation in which he chooses to earn a living, and on the market conditions, and despite the greater economic risk associated with an independent status, many workers choose to become self-employed to make a living. In Israel, the emerging trend in self-employment has driven an increase in the participation rate of workers in the workforce. The proportion of self-employed who do not employ workers especially showed a large increase amongst the female population. In the European Union, the number of self-employed who do not employ workers was shown to increase as the age of the self-employed rises. The COVID-19 pandemic that began in 2020 affected large sectors of the economy with businesses required to close and the education system forced to shut down. A survey conducted in Israel during the COVID-19 pandemic examined the impact of the ensuing economic crisis on the self-employed. Yet, despite the disadvantages associated with self-employment, an increasing number of workers are acknowledging the advantages, driving the transition of workers to self-employment.},
     year = {2023}
    }
    

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    AB  - Self-employment is a form of employment in which the person's income comes from his independent business activity, and not from work performed as an employee employed by an employer. Unlike an employee receiving a fixed salary from his employer, the self-employed manages his own business or acts in a legal association (such as a partnership). The self-employed business activities may be conducted in a business (office, shop, workshop, etc.), in the home of the self-employed or on the road. In this study, we explore the determinants for entry into self-employment and the emerging trends in the transition into self-employment in the European Union and in Israel over the last few decades. Although the job of the self-employed depends on his skills to develop the occupation in which he chooses to earn a living, and on the market conditions, and despite the greater economic risk associated with an independent status, many workers choose to become self-employed to make a living. In Israel, the emerging trend in self-employment has driven an increase in the participation rate of workers in the workforce. The proportion of self-employed who do not employ workers especially showed a large increase amongst the female population. In the European Union, the number of self-employed who do not employ workers was shown to increase as the age of the self-employed rises. The COVID-19 pandemic that began in 2020 affected large sectors of the economy with businesses required to close and the education system forced to shut down. A survey conducted in Israel during the COVID-19 pandemic examined the impact of the ensuing economic crisis on the self-employed. Yet, despite the disadvantages associated with self-employment, an increasing number of workers are acknowledging the advantages, driving the transition of workers to self-employment.
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Author Information
  • Department of Economics and Management, Tel Hai Academic College, Upper Galilee, Israel

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