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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:The Role of Small Enterprises in the Household and National Economy in Kenya: A Significant Contribution or a Last Resort?
Author:Daniels, Lisa
Year:1999
Periodical:World Development
Volume:27
Issue:1
Period:January
Pages:55-65
Language:English
Geographic term:Kenya
Subjects:small enterprises
national accounts
Development and Technology
Economics and Trade
Labor and Employment
External link:https://doi.org/10.1016/S0305-750X(98)00120-X
Abstract:In 1995, a survey of micro and small enterprises in Kenya was carried out by the Kenya Rural Enterprise Programme and Development Alternatives, Incorporated, in cooperation with Michigan State University. Based on the data from this survey, this article addresses the contribution of micro and small enterprises (MSEs) to employment, national income, and household income in Kenya. It was found that one-third of all working persons are employed in MSEs and the sector contributes 13 percent to national income. Despite their large contribution as a whole, returns to individual MSEs vary tremendously. Among those MSEs that represent the sole source of income for the household, 72 percent make less than the absolute poverty line in urban areas and none of the MSEs in rural areas make above the absolute poverty line. Comparing hourly MSE returns to average earnings in the private sector, the majority make below the average earning while a minority make significantly higher earnings. Bibliogr., notes, ref., sum.
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