Religiosity, Values, and Self-Employment

This cross-country study aims to explain the role of religiosity and human values in the decision of becoming self-employed. In order to explain the three-fold relationship, Principal Component Analysis is performed to measure religiosity within individuals, whereas Schwartz’ values structure is used to represent different human values. An empirical analysis of data from 32 European countries derived from the European Social Survey and covering the period 2002–2014 through 7 biennial waves suggests that eight human values have a negative indirect effect in the relation between religiosity and self-employment. Just two of Schwartz’s values, Universalism and Hedonism, report an insignificant effect and a positive mediating effect, respectively. The current investigation provides overall insights about how religiosity reinforces a specific set of human values, and subsequently how these human values have a relevant effect on economic behaviour.