The informal sector is typically characterized as being very heterogeneous and possibly composed of two clearly distinct segments, sometimes called the lower and upper tier. However, empirical evidence shows that even among lower tier entrepreneur's profitability can be quite high. The authors...

This paper investigates the dynamics of the informal sector in Madagascar during a period of fragile growth. Overall, the behavior of informal firms in terms of earnings, employment and capital accumulation points to a degree of heterogeneity which goes beyond a simple dualistic model and even a...

Micro and Small Enterprises (MSEs) in developing countries are typically considered to be severely credit constrained. Additionally, high business risks may partly explain why capital stocks of MSEs remain low. This article analyzes the determinants of capital stocks of MSEs in poor economies...

The empirical evidence of the economic benefits of different utilities such as electricity, telecommunications and water is mixed and, in the case of micro and small enterprises, relatively thin. This paper therefore revisits this issue. Based on a unique, albeit cross-sectional, micro data set...

In light of the surge in large‐scale farms in developing countries, concerns have been raised that smallholders may be negatively affected. There is, however, very little evidence beyond case studies to support these claims. Drawing on nationally representative household data sets and an...

The cultivation of cash crops has a great potential for reducing poverty in the developing world that may not be fully harnessed because many smallholders are inefficient producers. Further, income gains may be only static and poverty and vulnerability of smallholder households may not be...