6
EMPOWERING WOMEN
BOX O.2
Stronger Economic Rights, Greater Opportunities for Self-Employed Employers Entrepreneurs include individuals who are self-employed and individuals who work for themselves and employ others. Increasing the share of employers among entrepreneurs is one important way to expand opportunities. The gender pattern between the two types of entrepreneurship is striking. Women represent about 40 percent of the nonagricultural labor force in Sub-Saharan Africa, 50 percent of the self-employed, but only a little more than 25 percent of employers (box figure O.2.1). Factors that can help bridge this gap are thus important in helping women entrepreneurs in particular. In cross-country patterns, the share of self-employed individuals in the nonagricultural labor force is inversely related to income: it is very high in low-income countries and declines as country income rises. The same pattern does not hold for employers: the share, which is small, changes little as country income rises (box figure O.2.2). Instead, the share of female employers depends on the extent of gender gaps in economic rights (box figure O.2.3). More men than women are employers, but the gap is smaller where rights are stronger. More women are employers where they have stronger rights to access, control assets, and can enter into contracts in their own name.
Percentage of women in nonagricultural labor force (by employment category)
Figure BO.2.1 Women Are Active Entrepreneurs, Particularly in Lower-Income Countries, But Largely Self-Employed
80
60
40
20
0 6
7
8
9
10
GDP per capita (log) Self-employed
Employers
Unpaid family workers
Wage earners
Source: Based on data from household and labor force surveys in low- and middle-income countries.