Disentangling the gender-differentiated determinants of home-based self-employment choices in Nigeria

Abstract

Understanding gender disparities in home-based self-employment (HBS) and their links to homeownership and socioeconomic factors is crucial for advancing sustainable development goals (SDGs) in Sub-Saharan Africa, especially Nigeria. This study uses data from the 2010/2011, 2012/13, 2015/16, and 2018/19 waves of the Nigerian General Household Survey (GHS). It employs random effect probit regression, the LASSO method for identifying predictors, and the Blinder–Oaxaca decomposition technique to analyse gender differences in nonlinear binary outcomes. The results show that female business owners are more likely to engage in HBS compared to males, highlighting the importance of gender equality (SDG 5) and decent work (SDG 8). While male entrepreneurs are mainly driven by profit, females prioritise balancing paid and unpaid work, reflecting motivations beyond profit within heterodox economics. Significant gender-differentiated impacts are observed in relation to monthly rent, post-secondary education, dwelling space, energy, and regional locations. Notably, the presence of children significantly increases female involvement in HBS, a trend not seen among males. Marriage also influences female participation, suggesting that marital circumstances and economic benefits play a role. These findings highlight the need for policies addressing gender-specific constraints, challenging traditional gender roles, and promoting inclusive human development within the SDG framework.