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August 28, 2026Small Business EconomicsOpen Access

Moonlighting and the transition to full-time entrepreneurship

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Authors

NGNicholas Graff

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Overview

Panel study uncovers predictors of transitioning from moonlighting to full-time self-employment in workers, indicating that health insurance dependencies restrict entrepreneurial entry.

Key Points

  • To identify the economic and employment factors that drive workers to transition from moonlighting into full-time self-employment.
  • Analyzed longitudinal panel data from the Survey of Income and Program Participation.
  • Evaluated the impact of primary job attachment, secondary earnings, health insurance coverage, and marital status on transition probabilities.
  • Higher earnings from moonlighting and weaker attachment to primary employment significantly increased the likelihood of transitioning to full-time self-employment.
  • Access to employer-provided health insurance created an entry barrier that inhibited transitions, whereas marriage facilitated entrepreneurial entry through spousal risk-sharing.

Cite This Study

Nicholas Graff (2026) studied this question.

synapsesocial.com/papers/6a914599d15324a1df3a8d7dhttps://doi.org/10.1007/s11187-026-01268-7
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