Risk Preferences and Self-employment

Student: Gromova Ariadna

Educational Programme: Economics (Bachelor)

Year of Graduation: 2019

This paper investigates what is the role of risk-loving in becoming self-employed in Russia. Despite the fact that there have been significant works on risk preferences and entrepreneurship as separate streams of economic research, the role of risk preferences in becoming self-employed remains underexplored. We use a representative longitudinal survey of Russian households and then apply statistical methods to analyse the effect of risk preferences on entrepreneurial choice. For robustness check, we will use different definitions of entrepreneurial activity and risk attitudes and different data.

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