Person With What Kind Of Human Capital And Social Capital Will Be Inclined To Be Self-employer And Will Have More Likelihood To Achieve Success In Self-employment

As a common style of employment, self-employment is attached little importance to in the research. At present, as the employment situation is rigorous in China, the key problem for the policy-makers who advocate self-employment is to comprehend what kind of persons the micro-entrepreneurs who are engaged in self-employment are and what personal characteristics have impact on their success of self-employment. It is the central topic of this paper that what kind of persons will be inclined to be self-employers and what kind of persons will have more likelihood to achieve success in self-employment. First of all, the paper retrospects to the development of viewpoints on self-employment in the academe. Secondly the paper summarizes the researches in different subjects about who will be inclined to be self-employers and who will have more likelihood to achieve success in self-employment. Thirdly, the paper points out the deficiencies of these researches and then gives my angle of view: human capital and social capital. After reviewing the previous researchers' work about how human capital and social capital affect entrepreneurs' behavior and professional status, the paper brings forward a series of hypotheses of human capital and social capital, which is based on the background of Chinese reform. Finally, Using data collected in the field research undertaken in Xi'an and Hangzhou, the paper tests these hypotheses of human capital and social capital.The paper gets conclusions that human capital which represents the principle of market economy has established its basic function in self-employment behavior; The political capital and the social network with cadres still have impact on self-employment behavior to some degree, but this impact is weakening with the perfecting of marke economy system. In addition, the paper reaches that entrepreneurship is one of the significant factors which affect self-employment behavior; social network with entrepreneurs plays different roles between areas because of the regional difference in entrepreneurship atmosphere.