Using the home for income-generation

Abstract

A widespread phenomenon in many cities in developing countries is using homes not only for shelter, but also for income-generation through informal-sector activities. Using survey data from Kumasi, Ghana, I examine the characteristics of households that undertake such economic activities compared to those that do not. Descriptive analyses of socioeconomic characteristics, migration history, housing and location indicators, and tenure are presented. Discriminant analysis comparing the two groups is used to summarize the findings. Results show that female-headed households and larger households with older but less educated heads use their housing for income-generation more than other households. Migration history also distinguishes the two groups, but not in the expected direction. None of the location characteristics examined discriminate between the groups. Households that use their home for income-generation occupy more rooms, but their housing quality is not as good as the housing quality of other households.

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