The comparative dynamics of entrepreneurship and traditional employment in the semi-periphery of the EU

Abstract

This study explores the socioeconomic dynamics between entrepreneurship and traditional employment within the framework of the semi-periphery of the European Union, specifically focusing on Hungary. A mix of the ridge, LASSO, elastic net, and polynomial regression techniques are used so as to analyze a representative 2022 dataset, examining how individual self-perceptions and local socioeconomic environments influence employment types. The analysis made in this study reveals that, while entrepreneurship and traditional employment often exist on a continuum, they are influenced by the distinct socioeconomic and perceptual factors that contribute to a fluid employment landscape. The key findings indicate significant variations in how entrepreneurs and traditional employees perceive local economies, trust in institutions, and view their personal roles within the economic system. The study reveals critical details in the interplay between personal aspirations and a broader socioeconomic context, suggesting a complex, intertwined relationship that challenges traditional dichotomies between employment types.