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Date Published: 31/07/2020
Abstract Views: 222
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DOI: https://doi.org/10.38203/jiem.020.2.0009
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Vol. 20 No. 2 (2020)
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Articles
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Le, T. T. H., Bui, T. L., & Nguyen, H. M. (2021). The impact of financial openness on the earnings of self-employed workers - an empirical evidence from a panel dataset. Journal of International Economics and Management, 20(2), 34-48. https://doi.org/10.38203/jiem.020.2.0009
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The impact of financial openness on the earnings of self-employed workers - an empirical evidence from a panel dataset

Le Thi Thu Huong1,, Bui Thi Ly2, Nguyen Huyen Minh2
1 Colorado State University, Fort Collins, USA
2 Foreign Trade University, Hanoi, Vietnam

Main Article Content

Abstract

This paper contributes to the literature on the effect of financial openness by investigating the factors and determinants which drive the income share to self-employed labor during financial liberalization. The question of the precise impact of liberalization on the share of the self-employed has received less attention in the literature. The authors use a de jure or a rule-based indicator as a measure of capital account openness. The empirical work is applied for a panel dataset of 30 countries during the period of 1970 - 2015. The results from all specifications support the hypothesis that financial integration leads to an increase in the unemployment rate as well as in the income share of self-employed. Nevertheless, the positive relation between financial openness and self-employed income is not evident when we focus solely on developed countries.

Article Details

Keywords

Financial openness, Self-employed workers, Labor share of income

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