Search

In Africa's least developed countries (LDCs), escape from poverty and convergence to living standards of more advanced economies depends critically on structural transformation and the emergence of productive entrepreneurship that would accelerate growth and job creation. So far, however, subsistence agriculture has been the main source of employment in these countries, while a dynamic private sector in industry or high value-added services has remained elusive. Utilizing the flow approach to labor markets, this paper complements the empirical literature and numerous surveys on small and medium enterprise (SME) constraints and develops a theoretical framework that examines the main obstacles to entrepreneurship in Africa's LDCs. The paper posits that given the persistent frictions in product and labor markets as well as skill shortages that characterize these economies, development of productive entrepreneurship cannot be left to markets alone. The policy analysis suggests that the state has an important role to play. Well-targeted government interventions including training of potential entrepreneurs and workers can help to establish more modern and highly productive SME clusters that Africa's LDCs need. [ABSTRACT FROM AUTHOR]

After brief discussion of the general losses refugees incur in connection with displacement, the paper examines empirically the structural and institutional factors that discourage refugees from taking initiatives to recoup their losses and to construct sustainable livelihoods in countries of asylum, as well as the conditions that perpetuate poverty, vulnerability, and marginalisation. The paper argues that in developing countries refugee status, regardless of duration, leads to the acquisition of neither nationality nor denizenship. Basic rights and sources of livelihoods are apportioned on the basis of nationality and not residence. Lack of belonging to a spatially bounded community or geo-political state entity is therefore the single most important factor that prevents formulation and implementation of long-term development programmes. [ABSTRACT FROM AUTHOR]