data analysis. Each wave consists of two visits, one in the post-planting period and another in the post-harvest period, which we consider separately, resulting in a total of four survey waves from the NGGHS in our sample.

We identified household businesses in the NGGHS panel component using the non-farm business modules of the different survey waves. A household was coded as operating a business if there was a household member who had worked for himself, other than on a farm or raising animals (e.g. operating his or her own business, trade, working as a self-employed professional or craftsman) during the past 12 months preceding the survey. Owners were identified using information on who in the household owned the business, who managed it, and who was the survey respondent for the non-farm business module. Up to two members could be reported as owners and/or managers per business and their individual survey identification numbers were given, so that information on owner characteristics could be matched from the other survey modules. We then identified the business owner as the person who was indicated as the business owner if the household indicated only one and the same owner over the whole observation period. For the remaining cases (i.e. households who reported two owners in the same wave, or different owners in different waves) we identified the business owner(s) in a given round as the owner(s):

- who was also reported to be the manager and was the respondent for the non-farm business module; or

- who was/were also the manager of the business, if the respondent was neither a business owner nor a manager of the business; or

- who was also the respondent for the non-farm business module, if no information on the manager was available or none of the owners were identified as the manager; or

- who was/were the business owner(s), if no information was provided on manager and respondent; or

- who was the household head if no information was given on who was the business owner, manager, and respondent; or

- who was also reported to be the manager if one owner was indicated as manager and the other was the respondent for the business module.

In contrast to the other multi-purpose household surveys we use, the non-farm business modules of the NGGHS panel component to check whether the households surveyed reported any nonfarm household enterprise or income generating activity in the previous round. If so, they ask, whether this activity is still operating, closed permanently, temporarily or seasonally. We coded enterprises as surviving, if they were still being operated, and as closed if they were either closed permanently, temporarily, or seasonally. Households were also asked if the firm they reported was a new or an original one. We coded the variable _newfirmstart_ to one if the reported firm was a new one, and to zero if it was an original one. For simplification, we only included firms in our sample if the household never operated more than one firm in any of the four rounds we considered. Nevertheless, relying on the matching and information on closure and new firm start provided by the NGGHS was not sufficient. There remained a number of inconsistent and unclear cases, which we then coded on a case by case basis. For this we considered ownership and business sector over the horizon over which we observed these unclear cases for a given household, as well as, if available, information provided on closure and new firm start.

Given that the NGGHS panel component asks households in each survey round, whether they are operating a business, regardless of whether they were operating one in the previous round, we also extracted information on firms that were not operating in round 1, but in round 2, or 3 and use three baselines for the analysis of firm dynamics over time. Taking round 1 as baseline, we observe horizons of six months, 1.5 years, and two years to rounds 2, 3, and 4 respectively.

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