Income Mobility of Owners of Small Businesses when Boundaries between Occupations are Vague



Appendix

Table A1. Relationship between upward mobility and business ownership. Results for marginal
effects based on pooled probit estimations of yearly transitions, for two definitions of
owners of small businesses. Quintile and decile specifications, standard errors in
parentheses

Quintile specification

Decile specification

Owners of small
businesses, narrow
definition

Owners of small
businesses, wide
definition

Owners of small
businesses, narrow
definition

Owners of small
businesses, wide
definition

Ownership of small
business

0.051 (4.1×10-4)

0.055 (4.0×10-4)

0.035 (2.9×10-4)

0.038 (2.8×10-4)

Age

-3.3×10-4 (1.0×10-5)

-3.1×10-4 (1.0×10-5)

7.2×10-5 (9.3×10-6)

7.7×10-5 (9.1×10-6)

Male

0.039 (2.1×10-4)

0.037 (2.1×10-4)

0.023 (1.3×10-4)

0.021 (1.3×10-4)

Married

-0.008 (2.1×10-4)

-0.008 (2.0×10-4)

-3.6×10-4 (1.3×10-4)

-5.6×10-4 (1.2×10-4)

Dummy for children

0.018 (1.0×10-4)

0.018 (1.0×10-4)

0.007 (1.2×10-4)

0.006 (1.2×10-4)

Urban areas

0.016 (2.1×10-4)

0.016 (2.0×10-4)

0.010 (1.3×10-4)

0.010 (1.3×10-4)

Not born W-Europe,
N-Amer., Oceania

-0.012 (4.7×10-4)

-0.012 (4.7×10-4)

-0.008 (2.6×10-4)

-0.008 (2.6×10-4)

Length of education
Dummies for fields of
education:

0.009 (4.2×10-5)

0.009 (4.2×10-5)

0.005 (2.4×10-5)

0.005 (2.5×10-5)

General progr.

0.007 (5.6×10-4)

0.007 (5.5×10-4)

0.007 (4.2×10-4)

0.007 (4.2×10-4)

Humanities and arts

-5.9×10-4 (4.7×10-4)

-6.9×10-4 (4.7×10-4)

0.002 (3.4×10-4)

0.001 (3.3×10-4)

Teacher training and
pedagogy

-0.021 (3.3×10-4)

-0.021 (3.3×10-4)

-0.011 (2.0×10-4)

-0.011 (2.0×10-4)

Social sciences and
law

-0.019 (3.5×10-4)

-0.019 (3.5×10-4)

-0.010 (2.2×10-4)

-0.009 (2.1×10-4)

Business and
administration

0.008 (5.2×10-4)

0.008 (5.1×10-4)

0.008 (3.9×10-4)

0.008 (3.8×10-4)

Natural sciences

0.002 (4.7×10-4)

0.002 (4.6×10-4)

0.003 (3.2×10-4)

0.003 (3.2×10-4)

Health, welfare and
sports

-0.007 (4.6×10-4)

-0.007 (4.6×10-4)

-4.4×10-4 (3.5×10-4)

-3.1×10-4 (3.4×10-4)

Primary industries

-0.009 (4.6×10-4)

-0.009 (4.5×10-4)

-0.002 (3.4×10-4)

-0.002 (3.3×10-4)

Transport and
communication

0.005 (6.1×10-4)

0.005 (6.0×10-4)

0.003 (4.1×10-4)

0.003 (4.0×10-4)

31



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