Family as a eudaimonic bubble: Women entrepreneurs mobilizing resources of care during persistent financial crisis and austerity

Drawing on the conceptualization of family as a eudaimonic bubble, the study explores how women entrepreneurs mobilize familial resources to navigate the gendered challenges faced during persistent financial crisis and austerity in Greece, a country affected by acute socioeconomic crisis. Through qualitative interviews with women who started their own business during the financial crisis, it investigates how the allocation of resources and opportunities built on care enabled women to start and sustain their own business and achieve a degree of normative conformity, creating social cohesion in the here and now. The analysis reveals the transformational potential of familial care by illustrating three modes of resources of care that contribute to business viability, and positions the family, an organizing principle, in the centre of research on gendered mobilizations in crisis economies. In that way, the study critically contributes to debates regarding gender, entrepreneurship and austerity.     

Asset Ownership of New Asian Immigrants in the United States

This study examined the asset ownership of Asian immigrants using a nationally representative sample of newly legalized immigrants (New Immigrant Survey). Findings revealed that ownership of a business or farm, financial assets, and home ownership were associated with socioeconomic, demographic, and acculturation variables. Family income, education, English fluency, and length of stay were significant in all types of asset ownership. Variances in asset ownership by ethnic groups exist. Asian Indians and Koreans had higher levels of business asset ownership. Korean, and Filipino immigrants were also more likely to be homeowners. Asian Indian and Chinese immigrants were more likely to own financial assets. Vietnamese lagged in business or farm and financial asset ownership. Findings provided insights into the investment decisions of new Asian immigrants for financial educators, researchers, and policymakers.     

The 1999 Small Employer Retirement Survey: building a better mousetrap is not enough

As of 1995, there were 5.3 million small-employer firms (100 or fewer employees) in the United States. These small firms employed 38.0 million individuals, representing 38 percent of all employment. Therefore, low retirement plan coverage among small employers directly affects a sizeable fraction of the national work force. There are a number of reasons why more small employers do not offer retirement plans. Cost and administration-related issues do matter, but for many small employers these take a back seat to other issues. For some, the main driver is the financial reality of running a small business: Their revenue is too uncertain to commit to a plan. For others, the most important reasons for not sponsoring a plan are employee-related, e.g., the workers do not consider retirement savings to be a priority, or the employer's work force has such high turnover that it does not make sense to sponsor a plan. Many nonsponsors are unfamiliar with the different retirement plan types available to them as potential plan sponsors, especially the options created specifically for small employers. For example, most nonsponsors said they have never heard of (36 percent) or are not too familiar with (20 percent) SIMPLE plans for small businesses. Fifteen percent of small employers report that they are very likely to start a plan in the next two years, while 24 percent say this is somewhat likely. Nonsponsors report that the two items most likely to lead to serious consideration of sponsoring a plan are an increase in profits (69 percent) and business tax credits for starting a retirement plan (67 percent). Major drivers of low retirement plan sponsorship among small employers are who they employ and the uncertainty of revenue flows. While issues of administrative cost and burden matter, they are only part of the puzzle. Therefore, the solution is not simply "build it and they will come," by creating simpler and simpler retirement plans geared to small businesses. Rather, it is build it and they will come once the business reaches a certain level of profitability and stability, and once retirement planning and saving are more of a priority for the small employer's workers.     

The Use of Owner Resources in Small and Family Owned Businesses: Literature Review and Future Research Directions

This paper integrates relevant literature and the Sustainable Family Business Model regarding interchange of financial resources between family and business. Two distinct literatures on the use of owner resources in small businesses are examined: the intermingling of business and household resources from the family firm literature and financial bootstrapping studies from the small business finance literature. What has not been addressed in both literatures about the use of owner resources is discussed and the risks that owner resource bootstrapping and intermingling may place on the household and the business are considered. Recommendations and propositions for future research are suggested. To fully understand the makeup and success of household financial portfolios and family businesses, it is important to understand the use of owner resources in a holistic manner.     

Social and human capital in immigrant adaptation:: The case of Canadian business immigrants

Purpose: With the resurgence of immigration to North America in the past three decades, research on immigrant adaptation and the attendant issues of assimilation has burgeoned. A prevailing assumption of much of this research is that social capital is a vital resource enabling immigrants to find their economic and social niches in the host society. In a word, social capital is a key factor in the immigrant adaptation process. This assumption has been especially prominent in research focusing on one specific subset of immigrants: entrepreneurs. Social capital in the form of ethnic networks and family ties is assumed to function critically in the establishment and operation of immigrant-owned businesses. This paper argues that although the formation and expenditure of social capital may typify the experiences of many or even most immigrant entrepreneurs, some enter the host society with sufficient human and/or financial capital that enables them to forego the utilization of social capital in the adaptation process.Methods: To demonstrate, I draw upon in-depth interviews conducted with 70 immigrant entrepreneurs in the province of Ontario, Canada between 1993 and 1995. All interviewees entered Canada under the auspices of the Canadian Business Immigration Program, a federal program designed to attract immigrants with demonstrable business and managerial skills that presumably will lead to the establishment of a firm and thus to the subsequent creation of jobs and economic activity. A formal requirement of their entrance, then, is the possession of proven business skills, a critical form of human capital that facilitates successful economic adaptation in the host society.Forms of social capital are described and their applicability to the adaptation experiences of the interviewees is analyzed. What is found among these business immigrants is a minimal reliance on social capital in establishing and operating their firms. In securing investment capital, finding a work force, and acquiring information, ethnic and family ties, the most common forms of social capital for immigrants generally and for immigrant entrepreneurs in particular, do not play a major role. Solidarity with co-ethnics and the use of family labor, so common among conventional immigrant entrepreneurs, are not of significant import in the economic adaptation of these business immigrants. Moreover, ties to coethnics are only minimally significant in patterns of social adaptation as well.Results: It is concluded that immigrants entering the host society with pre-migration intentions of business ownership possess sufficient human capital that enables them to disregard the formation and utilization of social capital in their economic and social adaptation. In this they differ from immigrants who take a more conventional path to business ownership, that is, laboring in the mainstream work force following entrance into the host society and gradually accumulating resources that lead to entrepreneurship.For business immigrants with children, however, social capital does play a key role in the decision to immigrate. Business immigrants are prepared to abandon successful firms in the origin society in order to provide their children with a more promising socioeconomic environment, including above all what is viewed as superior opportunities for education. Hence, the social capital that inheres in close-knit family arrangements provides incentive for parents to accept losses in financial capital in order to increase their children’s human capital.Conclusion: The context of the receiving society may also be seen as a form of social capital for Canadian business immigrants. All declare that quality of life, rather than the lure of financial success, serves as their major incentive to immigrate to Canada. Moreover, the fact that they enter a society that officially proclaims its multicultural character offers them the opportunity to become Canadian but to retain their ethnicity. The source of social capital in this case, then, is not the ethnic community, but the broader society.     

Infants Associate Praise and Admonishment with Fair and Unfair Individuals

Recent evidence suggests that infants possess a rudimentary sensitivity to fairness: Infants expect resources to be distributed fairly and equally, and prefer individuals that distribute resources fairly over those that do so unfairly. The goal of this work was to determine whether infants' evaluations of fair and unfair individuals also includes an understanding that fair individuals are worthy of praise and unfair individuals are worthy of admonishment. After watching individuals distribute goods fairly or unfairly to recipients, 15‐month‐old (Experiments 1 and 2) and 13‐month‐old (Experiment 3) infants took part in a test phase in which they saw only the distributors' faces accompanied by praise or admonishment. Across all experiments, infants differentially shifted their visual attention to images of the fair and unfair distributors as a function of the accompanying praise or admonishment, although the direction in which they did so varied by age. Thus, by the start of the second year of life, infants appear to perceive fair individuals as morally praiseworthy and unfair individuals as morally blameworthy.     

Community Banks and Loans for Nonmetropolitan Businesses: A Multilevel Analysis from the 2007 Survey of Business Owners

Access to financial capital is vital for the sustainability of the local business sector in nonmetropolitan communities. In this article we develop two hypotheses and examine the impact of financial sector restructuring on the odds of using a bank loan to finance a new business or expand an existing business. Focusing on nonmetropolitan American businesses, we connect restricted tabulations of the 2007 Survey of Business Owners to data on the commuting zones (CZ) in which businesses are located. We use multilevel logistic regression models to predict the effects of community bank presence within the CZ on the odds of using a bank business loan to start or expand a business for nonmetropolitan businesses started or purchased since 2000. Net of important characteristics of the businesses and owners, we find that the greater the proportion of local banks in a nonmetropolitan CZ, the greater the odds that a conventional business loan was used to either help start a new business or expand an existing business.     

Lay actions in the face of crisis—Swedish citizens’ actions in response to the global financial crisis of 2008

This study goes beyond attitudes and behavioral indications as response to risk perceptions and focuses on actual behavior of laypeople. We report the results from a survey, conducted among a sample of Swedish citizens in the spring of 2009, looking at lay actions as responses to the financial crisis of 2008.In total, 3138 respondents were asked whether they had done something to protect their money during the recent financial crisis or not. The total sample, 1053 respondents, was divided into two comparable groups and a binary logistic regression tested a model with nine factors hypothesized to be predicting the choice to act or not as a response to the financial crisis. Among the eight factors predicting likelihood to act were gender, age, education, ethnicity, possession of assets affected of the financial crisis, worrying about the everyday household finances, the perception of others’ actions, and importance put on being knowledgeable and up-dated about financial matters. The ninth factor—respondents’ perception of the crisis to be a greater threat to the U.S. and global economy than to their own personal finances—did not contribute significantly to the model.A second aim of the study was to determine whether any individuals acted rashly and, if so, whether this group differed in any statistically significant way from the group of individuals that acted in a more financially circumspectly manner. In the group of individuals that acted rashly there is a higher propensity of: individuals who do not think they have assets affected by the crisis: individuals who have a lower level of education; and individuals who consider it important to be knowledgeable and up-to-date about financial matters. It should be of interest to policymakers and researchers to further explore features of this group of laypeople because it is the most important target group for consumer information and protection.     

On large enterprises: new findings from a European comparison

The recent evolution of Italian capitalism shows the increasing relevance of large enterprises at three levels: the economic and institutional environment, the ownership structure, and the financing policy. A comparison of the financial structure of Italian large enterprises with those of other European countries (France, Germany, and Spain), using Bank for the Accounts of Companies Harmonised data, shows their financial fragility, where the prevalence of debt over equity justifies the still strong and close relationship between ownership control and management in their strategies and the prevalence of obsolete bank–firm relationships based on short-term external finance and multiple business lendings. These factors slow down firms’ expansion and consequently the need for companies to grow so as to face the new global market. Finance is confirmed as a determinant of growth both in size and in organisation. We conclude that a pivotal role for the growth of Italian firms lies in a “revised” relationship between size, governance, and the firms’ financial structure.     

Migrant Remittances as a Source of Financing for Entrepreneurship

The aim of this research is to analyse the likelihood of small business ownership by households receiving remittances in Uzbekistan. As such, this research has important policy implications. Small businesses are crucial for job creation and economic growth. This research shows that households receiving remittances invest in family business only when this inflow is supplemented with sufficient income or savings. Therefore, financial constraints are of paramount importance for a small business and these could be especially hard to overcome in rural areas. The article also finds evidence that remittance senders direct their funds into special business projects.     

Planning Until Death Do Us Part: Partnership Status and Financial Planning Horizon

Positive economic outcomes of marriage are often explained with a higher future orientation of married individuals who are assumed to plan their finances for a longer period than the nonmarried. Using data from the Household, Income and Labour Dynamics in Australia Survey (2001–2014; N = 4,819 individuals), the authors provide the first longitudinal test of whether individuals change their financial planning horizons when they change their partnership status using fixed and random effects regressions. Results show that the financial planning horizon increases as individuals enter cohabitation. No further changes in financial planning horizons are found when they transition into marriage. Changes in horizons are similar for women and men. These results indicate that longer financial planning horizons and marriage are likely outcomes of couples' long‐term commitment, which develops during cohabitation. The symbolic and legal institution of marriage is not additionally associated with individual financial planning as a dimension of future orientation.     

Small employers and health benefits: findings from the 2000 Small Employer Health Benefits Survey

Many small employers (between two and 50 workers) are making decisions about whether to offer health benefits to their workers without being fully aware of the tax advantages that can make this benefit more affordable. Fifty-seven percent of small employers did not know that they can deduct 100 percent of their health insurance premiums. Nearly one-half of small employers are not aware that workers who purchase health insurance on their own generally cannot deduct 100 percent of their health insurance premiums. Small employers are largely unaware of the laws that have been enacted by nearly all states and the federal government with the intent of making health insurance more accessible and more affordable for many small employers. More than 60 percent did not know that insurers may not deny health insurance coverage to small employers even when the health status of their workers is poor. Most employers offer sound business reasons for offering health benefits to workers. Many have found that it helps with employee recruitment and retention, increases productivity, and reduces absenteeism. Nearly 50 percent of the employers offering dependent (family) coverage report that the workers do not take coverage for their dependents because the dependents have coverage from somewhere else. Twenty-seven percent report their employees decline dependent coverage because they cannot afford the premiums. Many small employers that do not offer health benefits are potential purchasers. Twelve percent are either extremely or very likely to start offering health benefits in the next two years, and 17 percent are somewhat likely to start offering health benefits. A number of factors would increase the likelihood that a small business would seriously consider offering a health benefits plan. Two-thirds of small-business owners said they would seriously consider offering health benefits if the government provided assistance with premiums. Almost one-half would consider doing so if insurance costs fell 10 percent. In addition, one-half would be more likely to seriously consider offering a health benefits plan if employees demand it. Many small employers with health benefits have recently switched health plans, and 34 percent report that they did so within the past year. Affordability for the employer and the worker is clearly a critical factor affecting the likelihood of switching health plans. Nearly all employers who have switched health plans within the past five years cite cost as the main reason. One-third of companies offering health benefits think they will change coverage, and 5 percent think they would drop coverage if the cost of health insurance were to increase by 5 percent.     

Restructuring of the Financial Industry: The Disappearance of Locally Owned Traditional Financial Services in Rural America

Restructuring in the financial services industry has altered the relationship between small business owners and capital. In the past small businesses have relied on relational, or soft data, lending from locally owned banks for capital. The proliferation of absentee‐owned local branch networks brought standardized practices, thus eliminating the autonomy of local loan officers to utilize soft data in loan decisions. In this article we examine the changes in the percentage of traditional financial services that are locally owned in three county types: metropolitan, micropolitan, and noncore. We utilize the Longitudinal Business Database at the U.S. Census Bureau Center for Economic Studies. We examine changes in local ownership of traditional financial services between 1976 and 2007. We find that the rate of decline of local ownership has been greatest in the noncore (most rural) counties. We also explore to what extent these patterns are related to the emergence of alternative financial services during the same period. We find that such alternative services are growing in all three county types, but at rates not significantly different than the population growth for these county types. We supplement our analysis with data from qualitative interviews with small business owners throughout rural Texas. We conclude with a discussion of implications and plans for future research.     

Training Social Workers in Personal Finance: An Exploratory Study

Social workers have opportunities to help individuals and families with their financial problems in a variety of practice settings, yet receive no formal training to do so. Using data from an online survey of social workers and other human service professionals (N?=?56) who completed or expressed interest in a financial social work certification program, we found that respondents were able to apply what they learned to help their clients and valued the practical and interactive nature of program content. We also found that respondents were not immune from experiencing some of the same financial problems that confront their clients. Implications for educating BSW and MSW students about household finance are presented and discussed.     

Economic Well-being and Ageing: The Need for Financial Education for Social Workers

This paper explores the importance of financial education for social workers who are often working with individuals and families who are financially vulnerable and who frequently have little financial knowledge. This may be particularly relevant in light of the recent global recession and the negative impact this has had for many in terms of increased living costs and decreased income. Older people may be particularly vulnerable to the economic fluctuations caused by the recession, yet they may be disadvantaged further by poor understanding of the impact of finances on well-being from social care agencies, and a paucity of information and advice to enable them to develop improved financial literacy. This may be compounded further by increasingly strict eligibility criteria, which restrict access to services, leading to increasing numbers of older people who need to fund their own care. The objective of this paper is to highlight the need for students and practitioners to develop their own financial literacy skills so as to better enable them to support those that they work with. The discussion considers the usefulness of the ‘asset vulnerability framework’ devised by Moser in assessing the economic well-being of older people and its applicability within social work education and practice.     

Change Makers? Women's Microenterprises in a Bolivian City

If entrepreneurs are society's innovators, what is the role of businesspeople in poor countries — particularly, the ‘micro’ businesspeople that make up the majority? What hope for decreasing poverty and improving livelihoods do microbusinesses offer? In particular, what is the role of women microentrepreneurs, whose incomes have been understood to contribute a great deal to the well‐being of poor households? This paper is based on case studies collected in the late 1990s in Sucre, Bolivia, a context in which many women are the owners of independent microenterprises. Women in Sucre control a range of microenterprises in the commerce, production and service sectors and are recognized as businesspeople by their spouses, families and people in their community. Under such conditions of ‘empowered’ business ownership, what is the potential of these businesses to decrease poverty? The study explores the business experiences of women microentrepreneurs, their priorities, entrepreneurial abilities and the obstacles they face. It suggests the kinds of business activities which women in Sucre are most likely to undertake and the income levels which these activities generally attract. Finally, it indicates that, while women in Sucre can control resources and take advantage of opportunities as businesswomen, other constraints mean that most women's businesses have only a limited ability to decrease poverty. ‘Microenterprise development’ alone is insufficient to address the complex relationships affecting how these women and their households access resources.     

Mental accounting of income tax and value added tax among self-employed business owners

Mental accounting describes a series of cognitive operations that help organize financial activities and facilitate money management. Self-employed taxpayers who make use of a separate mental account for future income tax payments or collected value added tax (VAT) might find it easier to declare their taxes correctly than taxpayers who do not. This study used a questionnaire to investigate whether self-employed taxpayers (N = 350) use mental accounting to manage their income tax and VAT obligations, whether mental accounting relates to tax knowledge, business and personality characteristics, and to what extent mental accounting is related to intended tax behavior. Our results reveal that some taxpayers mentally segregate taxes from turnover (segregators) while others do not (integrators). We found small differences in mental accounting between income taxes and VAT. Moreover, confirmatory factor analyses suggested that tax knowledge and mental accounting are distinct constructs. Segregation of taxes was related to lower impulsivity and more positive attitudes toward taxation. Individuals who stated they segregate taxes due from turnover more often claimed to run financially prosperous businesses. Mental accounting was not related to intentions of evading taxes, but individuals with higher mental accounting scores reported more pronounced levels of tax planning. While our research design does not allow drawing causal inferences, these findings could suggest that increasing self-employed taxpayers’ ability to organize their financial activities might be a promising strategy to strengthen the competitiveness of their businesses.     

Sandwich generation in China: Exchange pattern with older parents and educational expenditure on young children

The sandwich generation have dual care commitments to both ageing parents and children, so balancing the distribution of resources to older and younger generations is an important issue for them. Using data from the (China Family Panel Studies, 2018, N = 1,477), we investigated the associations between financial exchange patterns with older parents and educational expenditure on young children from the perspective of sandwich generation couples. The results indicate that individuals tended to spend less on their children's education when they had obligatory financial exchange patterns with their ageing parents compared to their counterparts with independent exchange patterns. The associations between financial exchange patterns and educational expenditure on young children differed between low- and high-income families. This study contributes to understanding the complexity of fulfilling the multigenerational support commitments of the sandwich generation and calls for more social support for such individuals.     

Consecration and meritocracy in elite business schools: The case of a Swedish student union

Sociologists are paying increasing attention to the business and financial elites that control today's global economy; indeed, there's a great need to understand who these elites are, what they do, and what makes them tick, as individuals, and as a class. But we also need to understand how the economic elites aremade in the current social and economic system, and one significant way of doing this, is by examining elite business schools, that is, the institutions that aim to train and prepare people to assume important leadership and decision-making positions in business, finance and related sectors of critical importance to the management of modern capitalism. Based on the notion of consecration, I empirically examine how the student union of Sweden's premier business school, The Stockholm School of Economics, offers its members a learning environment partly separated from the school, and how this semi-independent organization contributes to making undergraduate students socially, morally and esthetically meritorious for elite jobs in primarily management consulting and finance; a process that is largely shaped by corporate actors that participate formally and informally in the student union activities. The paper contributes to the sociological literature on business schools and higher education and elites, both theoretically through the twin notions of meritocracy and consecration, and empirically through its unique focus on student union activities in an elite business school setting.     

Connections with banking institutions and diverse asset portfolios in young adulthood: Children as potential future investors

A central hypothesis of Child Development Accounts (CDA) suggests that savings accounts in childhood lay a foundation for connecting to mainstream banking institutions and diversifying asset portfolios in young adulthood and beyond. While children may have limited savings to invest initially, they are financial actors who may increasingly invest money into different types of savings products over time. This paper uses propensity score weighted, longitudinal data from the Panel Study of Income Dynamics and its supplements to examine the types of financial and nonfinancial assets owned by young adults and whether or not they are more likely to own these assets when they have savings accounts as children. The most commonly owned assets in young adulthood included savings accounts (89%), vehicles (54%) and credit cards (51%). Smaller percentages owned stocks (9%), bonds (6%), and homes (8%). On average, young adults owned two to three different assets. Having savings accounts in childhood was associated with being two times more likely to own savings accounts, two times more likely to own credit cards, and four times more likely to own stocks in young adulthood, compared to not having savings accounts in childhood. Young adults' ownership of more total financial assets was also associated with having savings accounts in childhood. Findings provide some supporting evidence of demand for children's savings accounts. Policy endeavors that remove barriers to account ownership may be advantageous for children and mainstream banks.