Paths to Self-Employment among Immigrants

Abstract

Using data collected in a sample of Cuban exiles in Puerto Rico, this article tests hypotheses derived from four explanations of immigrant entrepreneurship, each of which emphasizes one of the following: Business background, labor market disadvantages, sojourning, and participation in the ethnic subeconomy. In addition, the article proposes an extension of the explanations, to wit, that their predictions will vary according to the type of entrepreneurial activity under consideration. Data support three of the interpretations—business background, labor market disadvantages, and participation in the ethnic subeconomy—as well as the extension. However, they reject the sojourning explanation. The implications of these findings and suggestions for further research are discussed.