Micro-entrepreneurship in Developing Countries

Seema Jayachandran, 2020. “Micro-entrepreneurship in Developing Countries, ” CESifo Working Papers Series 8086, CESifo.


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.