Non-Farm Enterprises in Rural Africa: New Empirical Evidence

Nagler, Paula; Naudé, Wim

doi:10.1596/1813-9450-7066

Cited by 40 publications

(50 citation statements)

References 74 publications

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“…Compared to advanced economies the differences are even greater (Harrison et al, 2014). Also here firm-level heterogeneity in productivity levels is found (Nagler and Naudé, 2014). Exporting, urban-based, formal and larger non-agricultural firms tend to be overall more productive (Rijkers et al, 2010;Söderbom and Teal, 2004;Van Biesebroeck, 2005).…”

Section: Labour Productivity In Africamentioning

confidence: 64%

“…Winters et al, 2009 andDavis et al, 2010). More recently however findings by Nagler and Naudé (2014) and Davis et al (2014) have found otherwise.…”

Section: Household Enterprisesmentioning

confidence: 90%

“…In section 4 I will look more critically at this by sharing some new data on household enterprise productivity from Nagler and Naudé (2014). Sub-Saharan Africa, 2005 (Source: Based on data from Fox et al 2013, p.36) Thus although the re-allocation of labour from agriculture to services (including household enterprises) has raised average productivity once off (static gains) during the 1990s and 2000s (Figures 2 and 3), subsequently inter-sectoral (services) growth in productivity was slow and even negative (dynamic losses).…”

Section: Within Sectormentioning

confidence: 99%

“…Over time this share has shown a tendency to increase rather than decrease, as some development economists of the 1960s and 1970s had expected. Nagler and Naudé, 2014) Davis et al (2014) also using the more recent data from the LSMS-ISA data included in the RIGA data, finds that although African rural households do indeed tend to specialize more in agriculture than non-African households 13 , that there are more diversification in Africa than was thought. Moreover, they found that as GDP per capita in African countries increase, that this gives way 'to a greater reliance on nonfarm wage employment, with non-farm self-employment the activity of choice for a more or less constant share of households as development occurs…' (Ibid, p.15) They also found that African rural households are much less dependent on transfer incomes, stating that 'interestingly, only one of the African countries in our sample has more than 5 percent of household specializing in transfer income (Kenya, with 9 percent).…”

Section: Household Enterprisesmentioning

confidence: 99%

“…Recently empirical evidence from Nagler and Naudé (2014) and McCullough has challenged this wisdom (2015). Nagler and Naudé (2014) present evidence that rural households do not only operate non-farm household enterprises due to necessity or survival, but also to exploit opportunities.…”

Section: Rural Entrepreneurship Entrepreneurial Ability and Householmentioning

confidence: 99%

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Entrepreneurship and the Reallocation of African Farmers

Naudé

2016

Agrekon

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E S Entrepreneurship and the Reallocation of African FarmersIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author.

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Section: Labour Productivity In Africamentioning

confidence: 64%

“…Winters et al, 2009 andDavis et al, 2010). More recently however findings by Nagler and Naudé (2014) and Davis et al (2014) have found otherwise.…”

Section: Household Enterprisesmentioning

confidence: 90%

Section: Within Sectormentioning

confidence: 99%

Section: Household Enterprisesmentioning

confidence: 99%

Section: Rural Entrepreneurship Entrepreneurial Ability and Householmentioning

confidence: 99%

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Entrepreneurship and the Reallocation of African Farmers

Naudé

2016

Agrekon

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Resampling and bootstrap algorithms to assess the relevance of variables: applications to cross section entrepreneurship data

et al. 2017

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In this paper, we propose an algorithmic approach based on resampling and bootstrap techniques to measure the importance of a variable, or a set of variables, in econometric models. This algorithmic approach allows us to check the real weight of a variable in a model, avoiding the biases of classical tests, and to select the more relevant variables, or models, in terms of predictability, by reducing dimensions. We apply this methodology to the Global Entrepreneurship Monitor data for the year 2014, to analyze the individual and national-level determinants of entrepreneurial activity, and compare results with a forward selection approach, also based on resampling predictability, and a standard forward stepwise selection process. We find that our proposed techniques offer more accurate results, which show that innovation and new technologies, peer effects, the socio-cultural environment, entrepreneurial education at University, R&D transfers, and the availability of government subsidies, are among the most important predictors of entrepreneurial behavior.

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Labor productivity and employment gaps in Sub-Saharan Africa

McCullough

2017

Food Policy

158

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Drawing on a new set of nationally representative, internationally comparable household surveys, this paper provides an overview of key features of structural transformation – labor allocation and labor productivity – in four African economies. New, micro-based measures of sector labor allocation and cross-sector productivity differentials describe the incentives households face when allocating their labor. These measures are similar to national accounts-based measures that are typically used to characterize structural change. However, because agricultural workers supply far fewer hours of labor per year than do workers in other sectors in all of the countries analyzed, productivity gaps shrink by half, on average, when expressed on a per-hour basis. Underlying the productivity gaps that are prominently reflected in national accounts data are large employment gaps, which call into question the productivity gains that laborers can achieve through structural transformation. Furthermore, agriculture’s continued relevance to structural change in Sub-Saharan Africa is highlighted by the strong linkages observed between rural non-farm activities and primary agricultural production.

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Non-Farm Enterprises in Rural Africa: New Empirical Evidence

Cited by 40 publications

References 74 publications

Entrepreneurship and the Reallocation of African Farmers

Entrepreneurship and the Reallocation of African Farmers

Resampling and bootstrap algorithms to assess the relevance of variables: applications to cross section entrepreneurship data

Labor productivity and employment gaps in Sub-Saharan Africa

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