CHINA’S ENTREPRENEURS

This paper investigates the traits of the self-employed entrepreneurs in urbanChina, an economy rife with informational and institutional imperfections, underdevelopedfinancial markets, but a growing and important non-state sector. The selfemployedmake on average 20% more than non-entrepreneurs, but are similar in theirage, marital status, educational attainment, and socio-economic background. Fewer areCommunist Party members and more have experienced unemployment. Social networksare significant in entrepreneurship, while women and older workers are less likely tobecome self-employed unless they have experienced unemployment. Motivation anddrive, as do attitudes toward risk, are also determinative factors...