PT - JOURNAL ARTICLE AU - Kerr, William R. AU - Mandorff, Martin TI - Social Networks, Ethnicity, and Entrepreneurship AID - 10.3368/jhr.58.3.0719-10306R2 DP - 2021 Jan 11 TA - Journal of Human Resources PG - 0719-10306R2 4099 - http://jhr.uwpress.org/content/early/2021/01/04/jhr.58.3.0719-10306R2.short 4100 - http://jhr.uwpress.org/content/early/2021/01/04/jhr.58.3.0719-10306R2.full AB - We study the relationship between ethnicity, occupational choice, and entrepreneurship. Immigrant groups in the United States cluster in specific business sectors. For example, Koreans are 34 times more concentrated in self-employment for dry cleaning than other immigrant groups, and Gujarati-speaking Indians are 84 times more concentrated in managing motels. We quantify that smaller and more socially isolated ethnic groups display higher rates of entrepreneurial concentration. This is consistent with a model of social interactions where nonwork relationships facilitate the acquisition of sector-specific skills and result in occupational stratification along ethnic lines via concentrated entrepreneurship.