Publication:
Self-Employment in the Developing World

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dc.contributor.authorNewhouse, David
dc.contributor.authorGindling, T. H.
dc.date.accessioned2013-01-04T18:32:57Z
dc.date.available2013-01-04T18:32:57Z
dc.date.issued2012-09
dc.description.abstractThis paper analyzes heterogeneity among the self-employed in 74 developing countries, representing two-thirds of the population of the developing world. After profiling how worker characteristics vary by employment status, it classifies self-employed workers outside agriculture as "successful" or "unsuccessful" entrepreneurs, based on two measures of success: whether the worker is an employer, and whether the worker resides in a non-poor household. Four main findings emerge. First, jobs exhibit a clear pecking order, with household welfare and worker education highest for employers, followed by wage and salaried employees, non-agricultural own-account workers, non-agricultural unpaid family workers, and finally agricultural workers. Second, a substantial minority of own-account workers reside in non-poor households, suggesting that their profits are often a secondary source of household income. Third, as per capita income increases, the structure of employment shifts rapidly, first out of agriculture into unsuccessful non-agricultural self-employment, and then mainly into non-agricultural wage employment. Finally, roughly one-third of the unsuccessful entrepreneurs share similar characteristics with their successful counterparts, suggesting they have the potential to be successful but face constraints to growth. The authors conclude that although interventions such as access to credit can benefit a substantial portion of the self-employed, effectively targeting the minority of self-employed with higher growth potential is important, particularly in low-income contexts. The results also highlight the potential benefits of policies that facilitate shifts in the nature of work, first from agricultural labor into non-agricultural self-employment, and then into wage and salaried jobs.en
dc.identifierhttp://documents.worldbank.org/curated/en/2012/09/16867195/self-employment-developing-world
dc.identifier.doi10.1596/1813-9450-6201
dc.identifier.urihttps://hdl.handle.net/10986/12090
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper; No. 6201
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectAGRICULTURAL EMPLOYMENT
dc.subjectAGRICULTURAL LABOR
dc.subjectAGRICULTURAL WAGE
dc.subjectAGRICULTURAL WORKERS
dc.subjectAGRICULTURE
dc.subjectCOMPARATIVE ANALYSIS
dc.subjectDEVELOPMENT ECONOMICS
dc.subjectEARNING
dc.subjectECONOMIC GROWTH
dc.subjectEMPLOYEE
dc.subjectEMPLOYMENT
dc.subjectEMPLOYMENT GROWTH
dc.subjectEMPLOYMENT IN AGRICULTURE
dc.subjectEMPLOYMENT OPPORTUNITIES
dc.subjectEMPLOYMENT STATUS
dc.subjectENTREPRENEURIAL SPIRIT
dc.subjectENTREPRENEURS
dc.subjectFAMILY WORKERS
dc.subjectFIRM SIZE
dc.subjectFUTURE RESEARCH
dc.subjectGDP
dc.subjectGDP PER CAPITA
dc.subjectGROWTH POTENTIAL
dc.subjectHIGH INCOME
dc.subjectHIGH INCOME COUNTRIES
dc.subjectHOUSEHOLD CONSUMPTION
dc.subjectHOUSEHOLD HEAD
dc.subjectHOUSEHOLD HEADS
dc.subjectHOUSEHOLD INCOME
dc.subjectHOUSEHOLD SURVEYS
dc.subjectHOUSEHOLD WELFARE
dc.subjectHOUSEHOLD_HEAD
dc.subjectHUMAN CAPITAL
dc.subjectHUMAN DEVELOPMENT
dc.subjectINCOME COUNTRIES
dc.subjectINCOME COUNTRY
dc.subjectINCOME DISTRIBUTION
dc.subjectINCOME GROUP
dc.subjectINCOME GROUPS
dc.subjectINCOME LEVEL
dc.subjectINFORMAL EMPLOYMENT
dc.subjectINFORMAL SECTOR
dc.subjectJOB CREATION
dc.subjectJOB SEARCH
dc.subjectJOBS
dc.subjectLABOR FORCE
dc.subjectLABOR MARKET
dc.subjectLABOR MARKETS
dc.subjectLABOUR
dc.subjectLIVING STANDARDS
dc.subjectLOW INCOME
dc.subjectMIDDLE INCOME
dc.subjectMIDDLE INCOME COUNTRIES
dc.subjectPER CAPITA CONSUMPTION
dc.subjectPER CAPITA INCOME
dc.subjectPER CAPITA INCOMES
dc.subjectPERFORMERS
dc.subjectPOOR
dc.subjectPOOR HOUSEHOLD
dc.subjectPOOR HOUSEHOLDS
dc.subjectPOVERTY LINE
dc.subjectPRELIMINARY EVIDENCE
dc.subjectPRESENTED EVIDENCE
dc.subjectPROBIT REGRESSIONS
dc.subjectREGRESSION ANALYSIS
dc.subjectRETIREMENT
dc.subjectRISK AVERSION
dc.subjectRURAL
dc.subjectRURAL AREAS
dc.subjectSALARIED EMPLOYMENT
dc.subjectSALARIED WORKER
dc.subjectSALARIED WORKERS
dc.subjectSALARY
dc.subjectSELF-EMPLOYED
dc.subjectSMALL FARMERS
dc.subjectTARGETING
dc.subjectUNEMPLOYED
dc.subjectUNEMPLOYMENT
dc.subjectUNPAID FAMILY WORKERS
dc.subjectWAGE
dc.subjectWAGE EARNER
dc.subjectWAGE EMPLOYMENT
dc.subjectWAGE SECTOR
dc.subjectWAGES
dc.subjectWEALTH
dc.subjectWORKER
dc.subjectWORKERS
dc.titleSelf-Employment in the Developing Worlden
dspace.entity.typePublication
okr.crosscuttingsolutionareaJobs
okr.crossref.titleSelf-Employment in the Developing World
okr.date.disclosure2012-09-01
okr.date.doiregistration2025-04-10T12:14:41.348096Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2012/09/16867195/self-employment-developing-world
okr.globalpracticeMacroeconomics and Fiscal Management
okr.globalpracticeSocial Protection and Labor
okr.globalpracticeEducation
okr.globalpracticePoverty
okr.guid296061468155367777
okr.identifier.doi10.1596/1813-9450-6201
okr.identifier.externaldocumentum000158349_20121023100737
okr.identifier.internaldocumentum16867195
okr.identifier.reportWPS6201
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2012/10/23/000158349_20121023100737/Rendered/PDF/wps6201.pdfen
okr.topicSocial Protections and Labor::Skills Development and Labor Force Training
okr.topicSocial Protections and Labor::Labor Markets
okr.topicEconomic Theory & Research
okr.topicPoverty Reduction::Rural Poverty Reduction
okr.topicMacroeconomics and Economic Growth::Income
okr.unitDevelopment Research Group (DECRG)
okr.volume1 of 1
relation.isAuthorOfPublication6b781836-5ec8-534f-9fee-17e76547c6bb
relation.isAuthorOfPublication.latestForDiscovery6b781836-5ec8-534f-9fee-17e76547c6bb
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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