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<p>Youth self-employment is widely promoted as a strategy to address persistent unemployment in developing countries. However, engagement in self-employment is influenced not only by individual initiative but also by broader socio-political and institutional contexts. In Ethiopia, previous studies have largely focused on economic and personal factors while giving limited attention to the socio-political conditions that enable or constrain youth employment choices. Addressing this gap, this study examines the socio-political determinants of youth self-employment in Hosanna City, Ethiopia, using cross-sectional survey data from 437 economically active youth. A multinomial logistic regression model estimates the likelihood of self-employment and wage employment relative to unemployment. The results indicate that human capital and social resources, including prior work experience, family support, exposure to role models, and youth organization membership, significantly increase the likelihood of self-employment. Conversely, limited access to training, inadequate workspaces, parental unemployment, and unfavorable policy environments reduce participation. These findings suggest that youth self-employment is embedded within broader socio-political and institutional ecosystems, rather than being solely an individual or market-driven choice. The study calls for integrated interventions that combine skills development, access to productive infrastructure, strengthened social support systems, and institutional reforms to promote inclusive and sustainable youth employment in urban Ethiopia.</p>

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The role of socio-political factors in shaping youth self-employment in Hosanna City, Ethiopia

  • 期刊论文

  • 出版模式：

    开放获取

  • 发表日期：

    2026年5月7日

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  • Alebachew Tesfaw Erkie,
  • Mengistu Dagnew Moges,
  • Bekele Melese Eshete

摘要

Youth self-employment is widely promoted as a strategy to address persistent unemployment in developing countries. However, engagement in self-employment is influenced not only by individual initiative but also by broader socio-political and institutional contexts. In Ethiopia, previous studies have largely focused on economic and personal factors while giving limited attention to the socio-political conditions that enable or constrain youth employment choices. Addressing this gap, this study examines the socio-political determinants of youth self-employment in Hosanna City, Ethiopia, using cross-sectional survey data from 437 economically active youth. A multinomial logistic regression model estimates the likelihood of self-employment and wage employment relative to unemployment. The results indicate that human capital and social resources, including prior work experience, family support, exposure to role models, and youth organization membership, significantly increase the likelihood of self-employment. Conversely, limited access to training, inadequate workspaces, parental unemployment, and unfavorable policy environments reduce participation. These findings suggest that youth self-employment is embedded within broader socio-political and institutional ecosystems, rather than being solely an individual or market-driven choice. The study calls for integrated interventions that combine skills development, access to productive infrastructure, strengthened social support systems, and institutional reforms to promote inclusive and sustainable youth employment in urban Ethiopia.