The Impact of Microenterprise Assistance Programs: A Comparative Study of Program Participants, Nonparticipants, and Other Low‐Wage Workers

Microenterprise has gained attention as a strategy to promote economic well‐being among the poor, but there is relatively little research to suggest whether microenterprise programs work. This study uses existing data to compare three groups: low‐income microentrepreneurs who participated in one of seven U.S. microenterprise assistance programs, low‐income self‐employed workers not attached to microenterprise assistance programs, and low‐income wage workers not self‐employed. Analyses of household income and poverty status over time fail to suggest that microenterprise programs make significant gains for participants.