Children And Female Self Employment Economics Essay

While several empirical analysis study a positive relationship between birthrate and the chance of adult females to be freelance, recent surveies have called into inquiry the cogency of viing readings because of endogeneity issues. This paper surveies two viing hypothesis: Does flexibleness of agenda and control over day-to-day work organisation make adult females more likely to prosecute in self-employment because of their kids or make business specific features of freelance adult females impact birthrate? This paper adds to the bing literature by using parental penchants for a assorted sibling-sex composing to make instrumental variable ( IV ) estimates for the impact of kids on female self-employment. To prove the viing hypothesis that occupational pick influences birthrate, parent ‘s self-employment experience is applied as an instrument to foretell adult females ‘s likeliness to go freelance. We find that birthrate positively influences adult females ‘s determination to go freelance ; nevertheless, no causal impact of self-employment specific working conditions on female birthrate was found. Based on this finding deductions for policy and female self-employed are drawn.

Introduction

The thought that self-employment enables persons to prosecute in paid employment and child care in a more flexible manner to equilibrate duties and clip allotment is present in the literature for about three decennaries ( Goffee & A ; Scase, 1983 ) ; MacPherson, 1988 ; Birley, Moss, & A ; Saunders, 1987 ) . It can be expected that adult females more frequently face the necessity of flexibleness since they continue to transport the majority of the duty, and the division of family labour remains instead traditional despite a convergence of hours worked in the family between work forces and adult females ( Coltrane, 2000 ; Bianchi & A ; Casper, 2000 ) . Consequently, the pattern of family production is argued to be positively related to self-employment, since this type of employment relationship offers greater flexibleness in the organisation and the measure of day-to-day work ( Edwards & A ; Field-Hendrey, 2002 ; Caputo & A ; Dolinsky, 1998 ; Wellington, 2006 ) . Holtz-Eakin, Joulfaian, and Rosen ( 1994 ) offer another possibility by indicating out, that hazardous ventures might be less superior option if dependent household members are present. This reading ne’er gained much support by the information. Both hypotheses emphasize the importance of birthrate for occupational picks.

Contrary to these statements, other scholar argue that certain occupational features influence birthrate of adult females. For illustration, the entrepreneurship literature has theorized that freelance may be more fertile in order to increase the likeliness that an inside household member may run the concern ( Broussard, Chami, & A ; Hess, 2003 ) . Besides other societal scientists as sociologists and demographists argue that business specific features are responsible for birthrate differences among adult females. For illustration Dinkel ( 1952 ) argued about six decennaries ago that business specific socio-economic position differences relate to adult females ‘s birthrate.

In the empirical literature, entrepreneurship bookmans treat the presence of kids on a regular basis every bit exogenic when patterning the determination to work as freelance and most frequently observe that the figure of kids in the place is positively related to adult females ‘s chance of self-employment ( e.g. Boden Jr. , 1996 ; Caputo & A ; Dolinsky, 1998 ) . Not surprisingly, demographists and other societal scientists treat occupational picks as an exogenic variable in order to explicate birthrate or child care proviso ( e.g. Gustafsson & A ; Kjulin, 1994 ; Strand, Wergeland, & A ; Bjerkedal, 1996 ; Martin Garcia, 2010 ) . This interchangeable theoretical and empirical mold of self-employment, birthrate and childcare proviso calls for extra research. Consequently, the endogenous character of birthrate and occupational picks complicates research on this subject. As noted by ( Parker & A ; Parker, 2009 ) bing research consequences need to be treated with cautiousness. However, understanding the relationship between birthrate and occupational pick is of import for theoretical and practical grounds.

In short, cognizing if penchants of caring for kids affect adult females ‘s pick to work as freelance or if business specific working conditions constrain maternity is of import in order to understand adult females ‘s determination to work as freelance and let for equal policy and managerial deductions. This paper surveies two viing hypotheses: Do kids hold a causal influence on adult females ‘s battle in self-employment or make specific features of freelance adult females and their work environment influence birthrate.

This work adds to the bing literature by using instrumental variable ( IV ) techniques based on the penchants for a assorted sibling-sex composing and the increasing likeliness of adult females to prosecute in self-employment depending on self-employment experience of their parents. Using micro informations from several European states we find grounds that kids increase adult females ‘s likeliness of self-employment compared to dependent employment. Contrary, no causal relationship is found for the possibility that specific working conditions and features of freelance affect female birthrate.

Previous work

One of import watercourse of literature that relates to the subject of birthrate and female self-employment, are surveies of motivational gender differences for self-employment. In most surveies, these gender related differences in motives to go freelance point to the importance of flexibleness for female freelance. For illustration, ( Boden Jr. , 1999 ) surveies gender differences in the self-reported grounds why persons become freelance utilizing U.S. study informations. His findings suggest that particularly adult females with immature kids cite flexibleness of agenda and family-related grounds more frequently as grounds to go freelance in comparing to work forces. Several other surveies found similar consequences ( ( Goffee & A ; Scase, 1983 ) ; ( Scott, 1986 ) ; ( Chaganti, 1986 ) ; ( Kaplan, 1988 ) ; ( Holmquist & A ; Sundin, 1988 ) ; ( Brush, 1990 ) ) . For a comparatively homogeneous sample of MBA enterprisers, ( DeMartino & A ; Barbato, 2003 ) find that motivational differences between female and male enterprisers become larger when enterprisers are married with dependent kids.

These motivational differences for get downing a concern, combined with a instead traditional division of family labour, suggest that particularly adult females may prosecute in self-employment in order to form child care in a more efficient manner. Empirical research on the relation between birthrate and self-employment, nevertheless, yielded equivocal consequences. One of the first surveies that showed a positive relationship between birthrate and self-employment was ( MacPherson, 1988 ) . He reports that extra kids in the age group 6-13 old ages increase likeliness that married U.S. adult females are freelance, while the figure of kids ageing 0-5 has no relationship to self-employment. ( Connelly, 1992 ) finds similar consequences and points to the importance of freelance U.S. adult females that offer child care services. Furthermore, several other empirical surveies find a positive relationship between birthrate and self-employment for the U.S. ( Wellington, 2006 ; Edwards & A ; Field-Hendrey, 2002 ; Lombard, 2001 ; Caputo & A ; Dolinsky, 1998 ; Carr, 1996 )

Based on longitudinally U.S. informations, Boden Jr. ( 1996 ) studied passages from pay to self-employment. Controling for several single features, he finds a positive correlativity between birthrate and choice into self-employment for both, work forces and adult females, that is, nevertheless, well stronger for adult females.

The positive correlativity between birthrate and female self-employment has been besides documented for several other states, including Canada ( Arai, 2000 ; Kuhn & A ; Schuetze, 2001 ) , Denmark ( Carrasco & A ; Ejrn?s, 2003 ) , Germany ( McManus, 2001 ) , and the UK ( Cowling & A ; Taylor, 2001 ) . In contrast to these consequences, a survey based on Swedish information reveals that female with immature kids become less frequently self-employment ( Joona & A ; Wadensjo , 2008 ) .

Besides at the aggregative degree, birthrate and female self-employment are found to be correlated. ( Kobeissi, 2010 ) shows, based on a set of 44 states, that birthrate rates and female self-employment rates are positively related. However, demographists claim the antonym and happen a negative relationship based on a panel of 23 OECD states ( Adsera, 2004 ) . Not merely does the mark of the relationship differ, but besides the way of putative cause. One cardinal ground behind these conflicting findings may be structural differences of this relationship for developing and developed states.

Following, surveies that link the figure of kids to self-employment continuance offer assorted consequences as good. Two surveies for the U.S. suggest that endurance in self-employment is, by tendency, non significantly related to figure of dependants in the family ( Holtz-Eakin et al. , 1994 ) . However, Bruce ( 2002 ) finds a important negative relationship utilizing U.S. informations. Kuhn and Schuetze ( 2001 ) happen higher issue rates for female freelance with older kids. Such a consequence, nevertheless, may be still in line with the statement that self-employment allows adult females to link child care and paid employment when kids are immature ; while at older ages of the kids exchanging off from self-employment may go more likely. Another related survey analyzes existent clip spent for child care and finds that child care significantly reduces the continuance in self-employment ( Williams, 2004 ) .

Additionally recent research has questioned if birthrate and female self-employment determinations correlate positively at all because of greater flexibleness. For illustration Gustafsson and Kjulin ( 1994 ) and Hildebrand and Williams ( 2003 ) reasoning backward ( self ) -employment position on clip spend on child care and happen some grounds that freelance parents spent less clip caring for their kids. Again, this line of research dainties self-employment position as an exogenic variable. With regard to working hours, Hundley ( 2000 ) finds that freelance adult females with little kids allocate significantly less clip to their concern. However, the existent clip allotment tells small about the initial considerations and believes of adult females and their birthrate and labour force engagement determinations. This besides explains conflicting findings of adult females ‘s motives to prosecute in self-employment found in studies and the existent clip allotment of female freelance.

In drumhead, most surveies report a positive relationship between birthrate and self-employment at the single degree. Such a relation seems to be supported by motivational gender differences for get downing a concern. At the aggregative state degree, the consideration of developed and developing states seem to act upon if birthrate and female self-employment rates correlate positively or negatively. Finally, bookmans treat occupational picks and birthrate interchangeably with regard to the assumed causal relationship. While the entrepreneurship literature tends to handle kids as an exogenic variable, demographists and other societal scientists treat occupational picks as exogenic.

Methodology and Data

Designation and appraisal scheme

Using penchants for assorted sibling sex mix is a well-established scheme in order to place causal effects of kids on labour force engagement ( Angrist & A ; Evans, 1998 ) . As noted by these writers, the penchant for a sex mix of siblings is good documented in the human ecology literature ( Williamson & A ; National Council on Family Relations, 1976 ) . Because of such a penchant, parents of same-sex siblings are much more likely to hold an extra kid. Since sex mix of kids is about random ( the chance of giving birth to a male kid is 0.51 ) , Angrist & A ; Evans demonstrate that a silent person for whether the sex of the first kid matches the sex for the 2nd kid is a plausible instrument for farther kids within the group of adult females with two kids and more. Furthermore, this instrument can be decomposed into two instruments that indicate if the first two kids are either either male or female. The appraisal of binary dependant variable theoretical accounts with dummy endogenous regressor requires consideration of the distinct character of both, the dependant variable ( freelance vs. non freelance ) and the endogenous regressor ( holding more than two kids ) . In such a instance additive instrumental variable attacks, such as 2SLS is a misspecification of functional signifier since the orhogonality conditions do non widen to nonlinear transmutations ( Wooldridge, 2002, 477f ) . To cover with this job a bivariate recursive probit appraisal is employed. Such a theoretical account belongs to the category of coincident equation theoretical accounts with dummy endogenous variable. The general specification of the theoretical account is

, ( 1 )

. ( 2 )

Equation ( 1 ) theoretical accounts the determination of being freelance yi* , where zi is a vector of independent variables, and s1i and s2i are indexs of the sex of the first and 2nd kid. The endogenous silent person variable xi* indicates if there are more than two kids populating in the family. For the More than 2 equation xi* , the parental penchant for a assorted sex composing of kids is used as an instrument, where I? is the consequence of the instrument.

In order to prove the viing hypothesis that specific features, penchants and working conditions of freelance female have a causal impact on birthrate, we use self-employment experience of parents as an instrument ( i.e. females in the sample are expected to hold a higher chance to be freelance if their parents have worked as freelance ) . To be an appropriate instrument we have to presume that adult females ‘s determination to acquire a 3rd kid is merely influenced by the self-employment position of parents via their ain occupational pick but non straight. Such an premise seems to be justifiable when commanding for other possible factors that correlate with parent ‘s self-employment experience and may every bit good act upon their girl ‘s birthrate. Such correlative features are for illustration parents instruction, position, or income passed on to the adult females in our sample. Therefore, we control for parents highest degree of instruction and a silent person variable indicating if parents had duty to oversee employees in order to proxy possible income, societal position and instruction differences of the adult females ‘s parents. The several equations are

, ( 3 )

. ( 4 )

where xi* displays the chance to hold a 3rd kid and zi is a vector of independent variables ( including the same sex variable ) , and p1i and p2i are indexs of the educational and societal position of the adult females ‘s parents. For the self-employment equation Lolo, the parents self-employment position is used as an instrument to foretell female self-employment determinations, where I† is the consequence of the instrument. The recursive theoretical account construction merely allows proving if kids increase adult females ‘s likeliness to be freelance versus self-employment additions adult females ‘s birthrate but it does non see coincident causing. A graphical representation is displayed in figure 1.

Figure 1: Simplified illustration of the equation system ( 1 ) / ( 2 ) and ( 3 ) / ( 4 )

Datas

In order to prove if kids have a causal affect to take self-employment over dependent employment or if female battle in self-employment activity has a causal impact on birthrate the information demands to run into high demands. In order to choose a sample that is big plenty to use such a scheme we use informations from the European Social Survey, Round I to Round IV ( ESS ) . The ESS is one of the most strict cross-country studies with regard to methodological issues and contains informations for several European states. The sample is limited to states of the European Union ( Austria, Belgium, Czech Republic, Denmark, Finland, France, Great Britain, Greece, Germany, Hungary, Ireland, Italy, Luxemburg, Netherlands, Poland, Portugal, Slovakia, Slovenia, Sweden, and Spain ) and the non-EU members Norway and Switzerland. Merely female participants are selected that are take parting in the labour market for at least 20 hours per hebdomad. Further, the designation scheme that is applied demands inclusion of adult females aging between 18 and 39 old ages with two or more kids. The age limitation is necessary since kids may besides go forth the family, which is non discernible in the informations used for this survey. After dropping observations with losing values, the sample consists of 7527 female labour force participants with at least two kids. The mean age at first birth is 24 old ages, about 49 per centum have two kids of the same sex, and 27 per centum have more than two kids. Around 7.4 per centum are freelance, and surprisingly about 22 per centum of the adult females report that their parents have self-employment experience ( Table A1 in the Appendix ) . A comparing of group agencies ( Table A2 in the Appendix ) reveals that freelance adult females in the sample have on norm more kids, are older, have more instruction, a higher opportunity to populate with a spouse, and a spouse that is instead freelance than depended employed or unemployed. Further, instruction degree of parents of freelance adult females is merely significantly different at the 10 per centum degree while there is a important difference in parent ‘s duty for oversing employees when the respondent was 14 old ages old.

Consequences

Table 1 nowadayss the consequences of a bivariate probit appraisal based on equation 1 and 2, utilizing same sex siblings as an instrument to analyse the impact of kids on female self-employment. For equation 2 we find that same sex instrument is important and positive. Further age, the spouse silent person, the figure of other family members, and the silent person variable indicating if parents had duty to oversee other employees is important and positive. Age at first birth and instruction is important and negative.

For the control variables in equation 1 we find that, adult females ‘s chance to be freelance is positively related to instruction, self-employment position of the spouse, parent ‘s instruction, and parent ‘s self-employment position. Age is positive but lone important at the 10 per centum degree. For the chief variable of involvement, the instrumented More than two silent person, a significantly positive coefficient is observed. This indicates that kids have a causal impact to take self-employment over dependent employment.

Table 1: The impact of kids on adult females ‘s self-employment position

Bivariate recursive probit

Equation 1

( Self-employed )

Equation 2

( More than two )

More than two ( 1=Yes )

0.694**

( 0.348 )

Age

0.0150*

0.0672***

( 0.00903 )

( 0.00435 )

Age at 1stbirth

0.00128

-0.101***

( 0.0110 )

( 0.00511 )

Old ages of fulltime instruction

0.0327***

-0.0252***

( 0.00795 )

( 0.00589 )

Partner ( 1=Yes )

-0.0660

0.141**

( 0.0864 )

( 0.0606 )

Partner freelance ( 1=Yes )

0.633***

0.00565

( 0.0588 )

( 0.0492 )

Number of other HH-members

0.0641

0.0705**

( 0.0435 )

( 0.0345 )

Parents highest degree of instruction

0.0348**

0.00245

( 0.0166 )

( 0.0118 )

Parents responsible for oversing

0.0711

0.127***

employees at age of 14 ( 1=yes )

( 0.0909 )

( 0.0481 )

Parents freelance at age of 14 ( 1=yes )

0.205***

( 0.0782 )

Boy foremost ( 1=Yes )

0.0436

0.0255

( 0.0445 )

( 0.0324 )

Boy 2nd ( 1=Yes )

0.0231

0.0284

( 0.0447 )

( 0.0325 )

Same sex ( 1=Yes ) ( Instrument )

0.102***

( 0.0322 )

Changeless

-2.755***

-0.590***

( 0.247 )

( 0.183 )

Year of interview and state silent persons

Yes

Yes

Observations

7527

7527

Wald chi2 ( Prob & gt ; chi2 )

1129.15

1129.15

Log pseudolikelihood

-5780.0684

-5780.0684

Wald trial of rho=0, Prob & gt ; chi2

2.90546 ( 0.0883 )

2.90546 ( 0.0883 )

Note: Bivariate recursive probit appraisal. Robust standard mistakes in parentheses. *** , ** , * indicates significance at 1 % , 5 % , and 10 % severally. Appraisals include dummy variables for twelvemonth of interview and state. Parents highest degree of instruction is measured on a 7 point graduated table from 0=not completed primary instruction to 6= 2nd phase of third instruction.

Table 2: The impact of adult females ‘s self-employment position on kids

Bivariate recursive probit

Equation 3

( More than two )

Equation 4

( Self-employed )

Self-employed ( 1=Yes )

0.189

( 0.626 )

Age

0.0665***

0.0285***

( 0.00496 )

( 0.00627 )

Age at 1stbirth

-0.100***

-0.0184***

( 0.00547 )

( 0.00690 )

Old ages of fulltime instruction

-0.0260***

0.0294***

( 0.00625 )

( 0.00810 )

Partner ( 1=Yes )

0.147**

-0.0478

( 0.0610 )

( 0.0880 )

Partner freelance ( 1=Yes )

-0.0157

0.653***

( 0.0936 )

( 0.0562 )

Number of other HH-members

0.0643*

0.0798*

( 0.0357 )

( 0.0429 )

Parents highest degree of instruction

0.00107

0.0366**

( 0.0122 )

( 0.0174 )

Parents responsible for oversing

0.115**

0.103

employees at age of 14 ( 1=yes )

( 0.0564 )

( 0.0916 )

Parents freelance at age of 14 ( 1=yes )

0.212***

( Instrument )

( 0.0807 )

Boy foremost ( 1=Yes )

0.0254

0.0542

( 0.0328 )

( 0.0453 )

Boy 2nd ( 1=Yes )

0.0267

0.0304

( 0.0327 )

( 0.0454 )

Same sex ( 1=Yes )

0.101***

( 0.0325 )

Changeless

-0.595***

-2.626***

( 0.187 )

( 0.258 )

Year of interview and state silent persons

Yes

Yes

Observations

Wald chi2 ( Prob & gt ; chi2 )

1063.55

1063.55

Log pseudolikelihood

-5781.2345

-5781.2345

Wald trial of rho=0, Prob & gt ; chi2

.026463 ( 0.8708 )

.026463 ( 0.8708 )

Note: Bivariate recursive probit appraisal. Robust standard mistakes in parentheses. *** , ** , * indicates significance at 1 % , 5 % , and 10 % severally. Appraisals include dummy variables for twelvemonth of interview and state. Parents highest degree of instruction is measured on a 7 point graduated table from 0=not completed primary instruction to 6= 2nd phase of third instruction.

Table 2 nowadayss the consequences of equation 3 and 4, utilizing parent ‘s self-employment experience as an instrument to prove for the impact of adult females ‘s ain self-employment position on birthrate. For equation 4 we find that the instrument, parent ‘s self-employment experience, is significantly related to adult females ‘s self-employment position. The control variables age, instruction, self-employment position of spouse, and parent ‘s instruction have a positive and important association to adult females ‘s chance to be freelance. Age at first birth is significantly negative related to self-employment position.

The control variable in equation 3 indicate that age at first birth and instruction are diminishing the likeliness to hold more than two kids, while age, the presence of a spouse, same sex siblings, and parents that had duty to oversee employees increase the likeliness of extra kids. The instrumented self-employment position turns out to be undistinguished.

Overall, the consequences indicate that kids have a positive and important impact on the likeliness to be freelance, while self-employment position does non increase birthrate. In order to give significance to the obtained consequences, table 3 studies the mean intervention consequence ( ATE ) and the mean intervention consequence of the treated ( ATET ) . The ATE and the ATET can be really different because the ATE studies an mean across units that might ne’er acquire the intervention ( in this context an extra kid ) and the intervention effects are conditional on the set of variables that have been included in the appraisals. The reported ATE implies that on norm, a intervention of the underlying population of females with an extra kid is associated with an addition in the chance to be freelance by about 12 % . The mean addition in the chance to go freelance additions by 6 per centum for those adult females that really have been treated ( ATET ) . The difference of the intervention effects may happen because the group of treated adult females has several features that give them a higher likeliness to hold features

Table 2: Average intervention consequence and mean intervention consequence of the treated

Treatment consequence

Std. Err.

omega

omega P & gt ; |z|

[ 95 % Conf. Interval ]

[ 95 % Conf. Interval ]

Ate

.1163819

.0936642

1.24

0.214

-.0671967

.2999604

Att

.0626787

.031047

2.02

0.044

.0018278

.1235296

Decisions

This paper aimed to supply causal illation about the relationship between kids and adult females ‘s engagement in self-employment. Knowing about the causal relationship is of importance since both, entrepreneurship bookmans every bit good as demographists documented a correlativity between the figure of kids in a family and adult females ‘s likeliness to be freelance. However, opposing theoretical logical thinking and different readings of this relationship makes it hard to deduce proper managerial and policy deductions. By doing use of parental penchants for a mixed-sex sibling composing, it is shown that adult females have a higher likeliness to be freelance when extra kids are present in the family. Contrary, using self-employment experience of parents as an instrument for adult females ‘s ain self-employment position, no causal influence of such an occupational pick on birthrate is observed. These consequences suggest that flexibleness of agenda and control over day-to-day work organisation in order to unite child care and labour force engagement are likely to be of import motives for adult females to prosecute in self-employment. This has some of import deductions. First, the causal impact of kids on the determination of adult females to be freelance suggests, that the desire to unite work and childcare more flexible, consequences in different start-up motives and growing aspirations of adult females compared to work forces ( comparison Rosa, Carter, & A ; Hamilton, 1996 ) . Since these motivations and aspirations are found to be a cardinal determiner of little concern public presentation ( Davidsson, 1991 ; Wiklund & A ; Shepherd, 2003 ) , the function of kids may be of import for a set of ascertained differences in male and female entrepreneurship. Second, our consequences are helpful to understand information dissymmetries between adult females inquiring for loans to go freelance and Bankss. Prior research points out that women-owned concern tend to hold lower degrees of capitalisation and finance ( Carter & A ; Rosa, 1998 ; Haines Jr, Orser, & A ; Riding, 1999 ) . Since female self-employed may hold different start-up motivations and aspirations because of the desire to link child care and paid work, this may do a market for lemons job ( Akerlof, 1970 ) . I.e. because Bankss can non detect if adult females place higher importance to go freelance because of the desire to unite child care and employment ( presuming that clip devoted to childcare may diminish clip devoted to the concern and therefore its public presentation ) , or if they place more importance to make a good performing concerns. ( Fay & A ; Williams, 1993 ) show some experimental grounds of such gender based appraising standards. As a effect the latter may retreat from taking self-employment because the discriminatory loan conditions do non mirror the differing motivations and aspirations of the group of adult females. Therefore, as an deduction for female enterprisers, it may be of higher importance to pass on and signal their entrepreneurial motives and aspirations in order to avoid possible favoritism of their environment. For research, an empirical effect worth analyzing may be if female enterprisers choose to go self-employment at an age that signals lower birthrate. Finally, in order to get the better of such an inauspicious choice, policy may seek to run into adult females ‘s demand for flexible occupations in general. If dependent employment offers plenty flexibleness to unite labour market engagement and child care, adult females will take self-employment to lesser extent because of flexibleness issues, which will diminish information dissymmetries of female enterprisers compared to male enterprisers. This outlook is in line with the ascertained state differences – in about all surveies female self-employment and kids are positively correlated – for Sweden, a state with strong child care system, adult females with immature kids less frequently become freelance than adult females ( Joona & A ; Wadensjo , 2008 ) . For Bankss, this survey suggests that efforts to diminish information dissymmetries with regard to adult females ‘s start-up motives every bit good as bring forthing consciousness of possible discriminatory loan allotment may be good to diminish structural inequalities in gender based rating standards. To adult females concern proprietor and nascent enterprisers pass oning motives may be important.

The empirical grounds presented in this paper calls for farther research to understand the deductions that kids have for clip allotment forms, public presentation and income facets of freelance in general and particularly for females.

Appendix:

Table A1: Descriptive statistics

Variable

Mean

Median

Std. Dev

Min.

Max.

Self-employed ( 1=Yes )

0.074

0

0.261789

0

1

More than two ( 1=Yes )

0.269829

0

0.4439

0

1

Age

33.86396

35

4.109139

18

39

Age at 1stbirth

24.06922

24

4.169842

14

38

Old ages of fulltime instruction

12.75967

12

3.51494

0

30

Partner ( 1=Yes )

0.876976

1

0.328486

0

1

Partner freelance ( 1=Yes )

0.132722

0

0.339297

0

1

Number of other HH-members

0.123821

0

0.514034

0

9

Parents highest degree of instruction

2.234888

2

1.640599

0

6

Parents responsible for oversing employees at age of 14 ( 1=yes )

0.135512

0

0.342293

0

1

Parents freelance at age of 14 ( 1=yes )

0.215358

0

0.411098

0

1

Boy foremost ( 1=Yes )

0.522918

1

0.499508

0

1

Boy 2nd ( 1=Yes )

0.507639

1

0.499975

0

1

Same sex

0.488907

0

0.49991

0

1

Note: Parents highest degree of instruction is measured on a 7 point graduated table from 0=not completed primary instruction to 6= 2nd phase of third instruction.

Table A2: Correlation tabular array

Freelance

Dependent employed

Variable

Mean

Std. Dev.

Minute

Soap

Mean

Std. Dev.

Minute

Soap

Average difference important at

More than two ( 1=Yes )

0.303411

0.460145

0

1

0.267145

0.4425

0

1

**

Age

34.60144

3.713556

20

39

33.80502

4.13369

18

39

***

Age at 1st birth

24.14901

4.167498

14

37

24.06284

4.170262

14

38

Old ages of fulltime instruction

13.12567

3.725086

3

30

12.73042

3.49623

0

30

***

Partner ( 1=Yes )

0.917415

0.275502

0

1

0.873745

0.332161

0

1

***

Partner freelance ( 1=Yes )

0.351885

0.477988

0

1

0.115208

0.319296

0

1

***

Number of other HH-members

0.159785

0.554217

0

6

0.120947

0.510619

0

9

**

Parents highest degree of instruction

2.342908

1.715096

0

6

2.226255

1.634319

0

6

*

Parents responsible for oversing employees at age of 14 ( 1=yes )

0.240575

0.427817

0

1

0.127116

0.333127

0

1

***

Parents freelance at age of 14 ( 1=yes )

0.35009

0.477427

0

1

0.204591

0.403432

0

1

***

Boy foremost ( 1=Yes )

0.543986

0.498509

0

1

0.521234

0.499585

0

1

Boy 2nd ( 1=Yes )

0.526032

0.499771

0

1

0.506169

0.499998

0

1

Same sex

0.477558

0.499945

0

1

0.489814

0.499932

0

1

Note: *** , ** , * indicates significance of t-test at 1 % , 5 % , and 10 % severally. Parents highest degree of instruction is measured on a 7 point graduated table from 0=not completed primary instruction to 6= 2nd phase of third instruction.

Table A1: Correlation tabular array

1

2

3

4

5

6

7

8

9

10

11

12

13

1

Freelance

1

2

More than two

0.0214*

1

3

Age

0.0507*

0.0844*

1

4

Age at 1st birth

0.005

-0.1817*

0.3608*

1

5

Old ages of fulltime instruction

0.0294*

-0.0922*

0.1324*

0.3882*

1

6

Spouse

0.0348*

0.006

0.0837*

0.1294*

0.0638*

1

7

Partner freelance

0.1826*

0.000

0.0523*

0.0386*

0.017

0.1429*

1

8

Number of other HH-members

0.0198*

0.0032

-0.1429*

-0.0984*

0.0939*

-0.0648*

0.0071

1

9

Parents highest degree of instruction

0.019

-0.0520*

0.0418*

0.2032*

0.3952*

0.016

-0.003

-0.0521*

1

10

Parents responsible for oversing employees

0.0868*

0.0383*

0.011

0.001

-0.0431*

0.0431*

0.1002*

0.0353*

-0.1196*

1

11

Parents freelance

0.0927*

0.0267*

0.0299*

0.0568*

0.0281*

0.0339*

0.1123*

0.0102

-0.0614*

0.7510*

1

12

Boy foremost

0.012

0.013

-0.006

0.004

0.001

-0.006

-0.005

-0.0043

0.002

-0.003

-0.011

1

13

Boy second

0.010

0.017

0.012

-0.002

0.014

-0.002

0.004

-0.0404*

0.0197*

-0.009

-0.003

-0.008

1

14

Same sex

-0.0064

0.0455*

0.0288*

0.0016

0.0058

-0.0035

-0.005

-0.0308*

-0.0091

0.0049

0.001

0.0312*

0.0611*

Note: * important at 10 % . Parents highest degree of instruction is measured on a 7 point graduated table from 0=not completed primary instruction to 6= 2nd phase of third instruction.

Probit appraisal

Dependent variable: Freelance

Equation 2

( More than two )

More than two ( 1=Yes )

0.0844**

( 0.0357 )

Self-employed ( 1=Yes )

0.106*

( 0.0621 )

Age

0.0269***

0.0637***

( 0.00736 )

( 0.00430 )

Age at 1stbirth

-0.0158**

-0.0941***

( 0.00663 )

( 0.00515 )

Old ages of fulltime instruction

0.0307***

-0.0253***

( 0.00922 )

( 0.00621 )

Partner ( 1=Yes )

0.0209

0.186***

( 0.0667 )

( 0.0563 )

Partner freelance ( 1=Yes )

0.655***

0.00331

( 0.0448 )

( 0.0493 )

Number of other HH-members

0.0739*

0.0480

( 0.0440 )

( 0.0369 )

Parents highest degree of instruction

0.0332*

0.00394

( 0.0184 )

( 0.0116 )

Parents responsible for oversing

0.0964

0.125**

employees at age of 14 ( 1=yes )

( 0.0996 )

( 0.0513 )

Parents freelance at age of 14 ( 1=yes )

0.215***

( 0.0773 )

Boy foremost ( 1=Yes )

0.0547

0.0274

( 0.0534 )

( 0.0307 )

Boy 2nd ( 1=Yes )

0.0302

0.0319

( 0.0299 )

( 0.0314 )

Same sex ( 1=Yes )

0.102***

( 0.0315 )

Changeless

-2.804***

-0.524***

( 0.242 )

( 0.166 )

Year of interview and state silent persons

Yes

Yes

Observations

7527

7527

Pseudo R-squared

0.0878

0.0880

Log pseudolikelihood

-1811.7613

-4002.6144

Wald trial of rho=0, Prob & gt ; chi2

1539.20 ( 0.00 )