DP14368 Microentrepreneurship in Developing Countries

Author(s): Seema Jayachandran
Publication Date: January 2020
Keyword(s): female entrepreneurship, Informal sector, Self-employment, small businesses
JEL(s): J16, J24, L26
Programme Areas: Labour Economics, Development Economics
Link to this Page: cepr.org/active/publications/discussion_papers/dp.php?dpno=14368

This article reviews the recent literature in economics on small-scale entrepreneurship ("microentrepreneurship") in low-income countries. Major themes in the literature include the determinants and consequences of joining the formal sector; the impacts of access to credit and other financial services; the impacts of business training; barriers to hiring; and the distinction between self-employment by necessity and self-employment as a calling. The article devotes special attention to unique issues that arise with female entrepreneurship.