Sohnesen, Thomas PaveFox, Louise2013-01-022013-01-022012-08https://hdl.handle.net/10986/12038Despite 40 percent of households relying on household enterprises (non-farm enterprises operated by a single individual or with the help of family members) as an income source, household enterprises are usually ignored in low-income Sub-Saharan-African development strategies. Yet analysis of eight countries shows that although the fast growing economies generated new private non-farm wage jobs at high rates, household enterprises generated most new jobs outside agriculture. Owing to the small size of the non-farm wage job sector, this trend is expected to continue for the foreseeable future. This analysis of enterprises and their owners shows that although it is a heterogeneous sector within countries, there are many similarities across countries, indicating that cross-country learning is possible. For labor force participants who want to use their skills and energy to create a non-farm income source for themselves and their families, household enterprises offer a good opportunity even if they remain small. The paper finds that given household human capital and location, household enterprise earnings have the same marginal effect on consumption as private wage and salary employment. The authors argue that household enterprises should be seen as part of an integrated job and development strategy.en-USCC BY 3.0 IGOAGE GROUPAGRICULTURAL ECONOMYAGRICULTURAL EMPLOYMENTAGRICULTURAL PRODUCTIVITYAGRICULTURAL PRODUCTSAGRICULTURAL SECTORAGRICULTURAL WAGEANTI-POVERTYAVERAGE WAGEBANKSBORROWINGCAPITAL INVESTMENTCROWDING OUTDEBTDEBT CRISISDEVELOPING COUNTRIESDEVELOPMENT ECONOMICSDEVELOPMENT POLICIESDEVELOPMENT POLICYDEVELOPMENT STRATEGIESEARNINGEARNINGS REGRESSIONEARNINGS REGRESSIONSECONOMIC GROWTHEDUCATIONAL DISTRIBUTIONEDUCATIONAL OPPORTUNITIESEFFECTIVE POLICIESELDERLYEMERGENCIESEMPLOYMENTEMPLOYMENT GROWTHEMPLOYMENT OPPORTUNITIESEMPLOYMENT SOURCEEMPLOYMENT STATUSEMPLOYMENT STRATEGIESEMPLOYMENT TRENDSENTREPRENEURSHIPFAMILY MEMBERSFAMILY SUPPORTFARM ACTIVITIESFARM ACTIVITYFARM INCOMEFARM PRODUCTIONFARM SELF-EMPLOYMENTFARMERSFEMALE ENTREPRENEURSFINANCIAL SERVICESFOOD POLICYFOOD SECURITYFORMAL EDUCATIONFUTURE LABORGENDER GAPGENDER INEQUITIESHIGH WAGESHOUSEHOLD ASSETSHOUSEHOLD CHARACTERISTICSHOUSEHOLD CHORESHOUSEHOLD CONSUMPTIONHOUSEHOLD DEMOGRAPHICSHOUSEHOLD ENTERPRISEHOUSEHOLD ENTERPRISESHOUSEHOLD INCOMEHOUSEHOLD NEEDSHOUSEHOLD SURVEYHOUSEHOLD SURVEYSHOUSEHOLD WELFAREHUMAN CAPITALINCOME DYNAMICSINCOME EARNINGINCOME GROWTHINCOME SMOOTHINGINCOME-GENERATING ACTIVITIESINFORMAL ECONOMYINFORMAL EMPLOYMENTINFORMAL SECTORINNOVATIONIRRIGATIONJOB CREATIONJOB LOSSJOBSLABOR DEMANDLABOR FORCELABOR FORCE GROWTHLABOR MARKETLABOR MARKETSLABOR PRODUCTIVITYLABOURLABOUR MARKETLEGAL STATUSLEGISLATIONLEVEL OF EDUCATIONLEVELS OF EDUCATIONLOCAL AUTHORITIESLOCAL GOVERNMENTSLOCAL INFRASTRUCTURELOW-INCOME COUNTRIESMARKET FAILURESMICROFINANCEMIGRANTMIGRANTSMIGRATIONMINORITYMODERNIZATIONMOTIVATIONMUNICIPAL AUTHORITIESNATIONAL DEVELOPMENTNATIONAL LEGISLATIONNATURAL RESOURCESNEW ENTRANTSNON-FARM EMPLOYMENTNON-FARM SECTORNONFARM INCOMENUMBER OF CHILDRENNUMBER OF HOUSEHOLDSNUMBER OF PEOPLEOCCUPATIONSPOLICY CHANGEPOLICY DISCUSSIONSPOLICY IMPLICATIONSPOLICY MAKERSPOLICY RESEARCHPOLICY RESEARCH WORKING PAPERPOLL TAXESPOOR HOUSEHOLDSPOVERTY LINEPOVERTY PROGRAMSPOVERTY REDUCTIONPOVERTY REDUCTION STRATEGIESPRIMARY EDUCATIONPRIMARY REASONPRIMARY SCHOOLPRIVATE ENTERPRISEPRIVATE SECTORPRIVATE SECTOR JOBSPRIVATE SECTOR WAGEPRODUCTIVE WORKPROGRESSPULL FACTORPUSH FACTORSREMOTE LOCATIONSRESPECTRETAIL TRADERICHER COUNTRIESRISK MANAGEMENTRULE OF LAWRURALRURAL AREASRURAL CREDITRURAL DEVELOPMENTRURAL ECONOMYRURAL HOUSEHOLDRURAL INCOMERURAL INVESTMENTRURAL LIVELIHOODSRURAL POVERTYRURAL TRANSFORMATIONRURAL YOUTHSAVINGSSECONDARY EDUCATIONSECONDARY SCHOOLSECONDARY SCHOOLSSKILLS DEVELOPMENTSMALL BUSINESSSMALL ENTERPRISESSOCIAL NORMSSUBNATIONAL GOVERNMENTSSURVIVAL PROBABILITYSURVIVAL RATESTAXATIONTOTAL EMPLOYMENTTRANSPORTURBAN AREASURBAN DWELLERSURBANIZED COUNTRIESVOCATIONAL EDUCATIONVOCATIONAL TRAININGVULNERABILITYWAGE EMPLOYMENTWAGE SECTORWATER MANAGEMENTWOMANWORK FORCEWORKERWORKERSWORKFORCEWORKING CAPITALWORKING POORYOUNG AGEYOUTH EMPLOYMENTWorld Bank10.1596/1813-9450-6184