Abstract

Abstract We propose that volunteering increases the likelihood of self-employment among young adults because volunteering improves self-esteem, which helps prospective entrepreneurs cope with the challenges associated with self-employment. We further predict that young adults who participate in diverse voluntary organizations are particularly likely to undertake self-employment because affiliations with diverse organizations not only enhance the social-psychological benefits of self-employment but also buffer the potential loss of a source of self-esteem caused by the discontinuation of a voluntary organization. Analysis of the data from the National Longitudinal Survey of Youth (N = 35,228) supports our hypotheses. Our study highlights that a better-developed self through volunteering benefits the agentic action of entrepreneurship.

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