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Industrialization on a Knife's Edge : Productivity, Labor Costs and the Rise of Manufacturing in Ethiopia (Inglés)

The latest push for industrialization in Ethiopia has attracted much academic and public interest. This paper assesses Ethiopia's competitiveness and attractiveness as an investment destination by comparing domestic productivity and input costs to a sample of manufacturing exporting countries. The paper documents that, in a comparison with Kenya, India or Vietnam, the labor cost advantage of Ethiopian firms is more than offset by low productivity...
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