Entrepreneurship creates jobs with higher average wages than wage employment in the same labor market.
NOT BSTOTAL BS
TOTAL BS — Verdict: False
Verified by Lenz ·
The Short Version
The evidence points in the opposite direction. Research that directly examines wages paid by startups and young/small firms generally finds lower average pay than at established employers in the same labor market. The claim appears to substitute entrepreneurs’ own income for employee wages, but those are different measures and do not support the stated conclusion.
Caveats
Do not confuse entrepreneurs’ personal income with the wages paid to employees at entrepreneurial firms.
Average self-employment income is skewed by a small number of very high earners, so it is not a reliable proxy for typical outcomes.
Young and small firms may create many jobs, but job creation does not imply those jobs pay higher wages.