Abstract
Microenterprises (MEs) are a critical part of developing countries' economies. However, due to shortcomings in data gathering efforts, comparatively little is reliably known about these businesses. Our data result from a door-to-door survey technique and involve 450 MEs in central Mexico. Our paper represents the first effort to quantify the effect of remittances on microenterprise performance. We also examine whether access to credit affects ME growth. Our results indicate that MEs with access to remittances do not grow significantly faster than MEs without such access. Access to credit does not appear to have a significant influence on ME growth.
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