Abstract

Entrepreneurship is an important contributor to economic growth and development of any country. It is multifaceted as it cuts across a broad range of disciplines such as economics, health, agriculture, engineering, and energy. Entrepreneurship impact on job creation especially in rural areas, poverty reduction, tax generation for the government, food security and nutrition, innovation and technological advancements. Most developed countries have a strong entrepreneurship ecosystem to support the birth and growth of enterprises. This study analysed the influence of education on entrepreneurship in Malawi and the results of the study are aimed at informing and enhancing the entrepreneurship ecosystem for promoting enterprise development and growth in Malawi. Due to limited resources, the study usedalready existing data from the Fourth Integrated Household Survey (IHS4) from the National Statistical Office. Further data analysis from the Third Integrated Household Survey (IHS3) was done to validate the results from IHS4. A Two-Part Econometric Model was used to analyse the data. Multicollinearity Test was carried out to ensure that there was no inter relation between independent variables while the Link Test was used to ensure that there were no additional independent variables that were not included in the model. Modified Park Test was conducted to identify the appropriate family for the Generalized Linear Models (GLM), The results of the study showed that education positively affects entrepreneurship and that the probability to engage in entrepreneurial activity decreased with age. However, the amount spent on entrepreneurial activities was much higher for older people, above 65. The results also indicated that region or location influenced one to engage in entrepreneurial activities though it did not influence the amount of investment made in the business and being a Muslim was observed to be statistically significant compared to be being non. In conclusion, investment in the educational sector should be increased to enable more Malawians to pursue higher education and become serial entrepreneurs. Entrepreneurship should be introduced to the youthearlier as the likelihood to venture into entrepreneurship decreases with age and that a conducive environment similar to the urban areas should be created in rural areas to stimulate entrepreneurship.

More details

School	: School of Law, Economics and Government
Issued Date	: 2023

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