Explaining Attitudes towards Self-employment among Immigrants: A Canadian Case Study

Implicit in Canada's immigration policies is that some immigrants are endowed with a particular entrepreneurial spirit, and that this spirit relates to immigrants’ origin. This paper examines whether attitudes towards entrepreneurship indeed relate to origin, or whether they can be explained through labour market circumstances at the place of settlement and/or Canada's immigrant selection procedure. The empirical study focuses on the reported attitudes towards entrepreneurship. A survey of 509 Vancouver residents of a predominantly Chinese immigrant neighbourhood, a predominantly South Asian immigrant neighbourhood, and a neighbourhood of non‐immigrants reveals that ethnic origin is a weak indicator of entrepreneurial attitudes. Instead, urban or rural background emerges as a more powerful predictor. The results also raise doubts about whether the Canadian government's immigration policy, which selects immigrants on the basis of economic potential, indeed selects immigrants with a greater desire to become self‐employed. Furthermore, the amount of time immigrants have spent in Canada does not significantly affect attitudes towards entrepreneurship.