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The Changing Role of Non-Farm Household Enterprises in Vietnam

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Author Info

  • Oostendorp, Remco H.
  • Trung, Tran Quoc
  • Tung, Nguyen Thanh

Abstract

Summary In this paper we study the importance of the non-farm household enterprise (NFHE) sector in Vietnam. We do find that NFHEs increase income and reduce between-household inequality. However, the role of the NFHE sector has been diminishing, especially in urban areas, and the NFHEs have been affected by trade liberalization in the period 1993-2002. In terms of policy, this suggests that there is increasing scope for targeting NFHE sector policies at those NFHEs that are in the best position to benefit from the new opportunities in the liberalizing environment.

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Bibliographic Info

Article provided by Elsevier in its journal World Development.

Volume (Year): 37 (2009)
Issue (Month): 3 (March)
Pages: 632-644

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Handle: RePEc:eee:wdevel:v:37:y:2009:i:3:p:632-644

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Web page: http://www.elsevier.com/locate/worlddev

Related research

Keywords: household enterprises income inequality trade liberalization Asia Vietnam;

References

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  1. Stoyan Tenev & Amanda Carlier & Omar Chaudry & Quynh-Trang Nguyen, 2003. "Informality and the Playing Field in Vietnam's Business Sector," World Bank Publications, The World Bank, number 15084, October.
  2. Kokko, Ari & Sjöholm, Fredrik, 2004. "The Internationalization of Vietnamese SMEs," EIJS Working Paper Series 193, The European Institute of Japanese Studies, revised 14 Oct 2004.
  3. Van der Walle, Dominique & Cratty, Dorothyjean, 2003. "Is the emerging nonfarm market economy the route out of poverty in Vietnam?," Policy Research Working Paper Series 2950, The World Bank.
  4. Steer, Liesbet & Taussig, Markus, 2002. "A little engine that could: domestic private companies and Vietnam?s pressing need for wage employment," Policy Research Working Paper Series 2873, The World Bank.
  5. Davidson, Russell & MacKinnon, James G., 1993. "Estimation and Inference in Econometrics," OUP Catalogue, Oxford University Press, number 9780195060119, September.
  6. Elbers, Chris & Lanjouw, Peter, 2001. "Intersectoral Transfer, Growth, and Inequality in Rural Ecuador," World Development, Elsevier, vol. 29(3), pages 481-496, March.
  7. Lanjouw, Jean O. & Lanjouw, Peter, 2001. "The rural non-farm sector: issues and evidence from developing countries," Agricultural Economics, Blackwell, vol. 26(1), pages 1-23, October.
  8. Henrik Hansen & John Rand & Finn Tarp, 2004. "SME Growth and Survival in Vietnam: Did Direct Government Support Matter?," Discussion Papers 04-13, University of Copenhagen. Department of Economics.
  9. Thomas Reardon & J. Edward Taylor & Kostas Stamoulis & Peter Lanjouw & Arsenio Balisacan, 2000. "Effects of Non-Farm Employment on Rural Income Inequality in Developing Countries: An Investment Perspective," Journal of Agricultural Economics, Wiley Blackwell, vol. 51(2), pages 266-288.
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Citations

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Cited by:
  1. Kimhi, Ayal, 2009. "Entrepreneurship and Income Inequality in Southern Ethiopia," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  2. Benedikter, Simon & Waibel, Gabi & Birtel, Serge & Bui, Cuong The & Tran, Be Thanh, 2013. "Local Entrepreneurship in Vietnam’s Rural Transformation. A Case Study from the Mekong Delta," MPRA Paper 49866, University Library of Munich, Germany.
  3. Voeten, Jaap & Haan, Job de & Groot, Gerard de, 2009. "Is that Innovation? Assessing Examples of Revitalized Economic Dynamics among Clusters of Small Producers in Northern Vietnam," MERIT Working Papers 055, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  4. Roubaud, François & Razafindrakoto, Mireille & Cling, Jean-Pierre, 2012. "Explanatory factors behind formalizing non-farm household businesses in Vietnam," Economics Papers from University Paris Dauphine 123456789/11191, Paris Dauphine University.
  5. Tran Quoc Trung & Nguyen Thanh Tung & Tran Duy Dong & Phan Hoai Duong, 2008. "Performance of export-oriented small and medium-sized manufacturing enterprises in Viet Nam," Working Papers 5408, Asia-Pacific Research and Training Network on Trade (ARTNeT), an initiative of UNESCAP and IDRC, Canada..

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