Innovation and Microenterprises Growth in Ethiopia

Mulu Gebreeyesus

No RP2009-51, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: This paper addresses two prominent issues on the development of small enterprises in Africa. Which factors inhibit or foster innovation activities in small enterprises? Do innovators create more jobs? We use a large set of microenterprises survey data from Ethiopia that comprise 1000 observations with ten and fewer workers. The analysis shows that firms larger in size and in manufacturing are more likely to engage in innovative activities. Among the human capital variables vocational training is found to have a strong effect on the innovation activity.

Keywords: Economic development; Entrepreneurship; Small business; Technological innovations (search for similar items in EconPapers)
Date: 2009
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Citations: View citations in EconPapers (3)

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Working Paper: Innovation and Microenterprises Growth in Ethiopia (2009)
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