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Skills and youth entrepreneurship in Africa: Analysis with evidence from Swaziland

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  • Zuzana Brixiova

    ()

  • Mthuli Ncube

    ()

  • Zorobabel Bicaba

    ()

Abstract

The shortages of entrepreneurial skills have lowered search effectiveness of potential young entrepreneurs and the rate of youth start-ups. Our paper contributes to closing a gap in the entrepreneurship and development literature with a model of costly firm creation and skill differences between young and adult entrepreneurs. The model shows that for young entrepreneurs facing high costs of searching for business opportunities, support for training is more effective in stimulating productive start-ups than subsidies. The case for interventions targeted at youth rises in societies with high costs of youth unemployment. We test the role of skills and training for productive youth entrepreneurship on data from a recent survey of entrepreneurs in Swaziland.

Suggested Citation

  • Zuzana Brixiova & Mthuli Ncube & Zorobabel Bicaba, 2014. "Skills and youth entrepreneurship in Africa: Analysis with evidence from Swaziland," William Davidson Institute Working Papers Series wp1077, William Davidson Institute at the University of Michigan.
  • Handle: RePEc:wdi:papers:2014-1077
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Asongu, Simplice & Tchamyou, Vanessa, 2015. "The Impact of Entrepreneurship on Knowledge Economy in Africa," MPRA Paper 70237, University Library of Munich, Germany, revised Aug 2015.
    2. Ferrando-Latorre, Sandra & Velilla, Jorge, 2018. "La transmisión intergeneracional de la actividad emprendedora en las familias españolas
      [Intergeneration transmissions of the entrepreneurial activity in Spanish households]
      ," MPRA Paper 83573, University Library of Munich, Germany.
    3. Asongu, Simplice & Nwachukwu, Jacinta, 2017. "Building Knowledge Economies in Africa: A Survey of Policies and Strategies," MPRA Paper 81701, University Library of Munich, Germany.
    4. Jorge, Velilla, 2017. "Feminization of entrepreneurship in developing countries? Evidence from GEM data," MPRA Paper 79997, University Library of Munich, Germany.
    5. Molina, Jose Alberto & Ortega, Raquel & Velilla, Jorge, 2017. "Older entrepreneurs-by-necessity using fuzzy set methods: differences between developed and developing countries," MPRA Paper 76982, University Library of Munich, Germany.
    6. Molina, Jose Alberto & Velilla, Jorge & Ortega, Raquel, 2016. "Entrepreneurial activity in the OECD: Pooled and cross-country evidence," MPRA Paper 71592, University Library of Munich, Germany.
    7. Asongu, Simplice & Nwachukwu, Jacinta, 2017. "Openness, ICT and Entrepreneurship in Sub-Saharan Africa," MPRA Paper 83070, University Library of Munich, Germany.
    8. Velilla, Jorge, 2018. "The entrepreneurial activity using GEM data: evidence for Spain (national and regional) and for Europe," MPRA Paper 85568, University Library of Munich, Germany.
    9. Molina, Jose Alberto & Velilla, Jorge, 2016. "La innovación como determinante pare el emprendimiento
      [Innovation as determinant of entrepreneurship]
      ," MPRA Paper 71471, University Library of Munich, Germany.
    10. Asongu, Simplice & Efobi, Uchenna & Tanankem, Belmondo, 2017. "On the Relationship between Globalisation and the Economic Participation of Women in Sub-Saharan Africa," MPRA Paper 78860, University Library of Munich, Germany.
    11. Simplice Asongu & Nicholas Biekpe, 2017. "Mobile Phone Innovation and Entrepreneurship in Sub-Saharan Africa," Working Papers 17/023, African Governance and Development Institute..
    12. Brixiova, Zuzana & Kangoye, Thierry, 2015. "Gender and Constraints to Entrepreneurship in Africa: New Evidence from Swaziland," IZA Discussion Papers 9273, Institute for the Study of Labor (IZA).
    13. Simplice Asongu & Nicholas Biekpe & Vanessa S. Tchamyou, 2018. "Remittances, ICT and Doing Business in Sub-Saharan Africa," Working Papers 18/010, African Governance and Development Institute..
    14. Asongu, Simplice & Nwachukwu, Jacinta, 2016. "Mobile phones, Institutional Quality and Entrepreneurship in Sub-Saharan Africa," MPRA Paper 76590, University Library of Munich, Germany.
    15. MAGADLELA, Dumisani, 2016. "Can You Teach a Lion to Roar? Selected African Skills Development and Capacity Building Perspectives: Breaking Down Old Paradigms and Creating New Opportunities," IIR Working Paper 16-03, Institute of Innovation Research, Hitotsubashi University.

    More about this item

    Keywords

    youth entrepreneurship; model of skills and structural transformation; policies; Africa;

    JEL classification:

    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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