- 1-A Rural-Urban Comparison of Manufacturing Enterprise Performance in Ethiopia *

  title={- 1-A Rural-Urban Comparison of Manufacturing Enterprise Performance in Ethiopia *},
  author={Bob Rijkers and M{\aa}ns S{\"o}derbom and J. L{\"o}ning and M Amin and Kathleen Beegle and Paul Collier and Louise Cord and Mary Hallward-Driemeier and L Fox and C. van der Meer},
Manufacturing enterprises in rural and urban Ethiopia are compared to examine how location and investment climate characteristics affect performance. Urban firms are larger, more capital intensive and have higher labor productivity than rural firms. The rural-urban gap in labor productivity is due to differences in capital intensity and total factor productivity. There is no strong evidence of increasing returns to scale. The hypothesis that firms in rural towns have the same average total… CONTINUE READING

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