Determinants of Self-Employment in Botswana

Abstract

The global market is rapidly recognizing the importance of entrepreneurship and self employment, especially in growing the economy, creating jobs and reducing poverty. This paper employs the logit regression model to investigate the determinants of self employment in Botswana, using the 2009/2010 Botswana Core Welfare Indicator Survey (BCWIS) data. The results reveal that individuals who are male, citizens, educated and living in cities are less likely to be self-employed than their counterparts. On the other hand, the age of the entrepreneur positively influences the likelihood of self-employment, as well as being a widow. Public policy needs to empower females and rural dwellers in terms of skills and entrepreneurship training in order to enhance their success in their self-employment activities. In addition, government should continue with its efforts of providing assistance to the youth for entrepreneurial development in order to reduce unemployment.