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The Nature of self-employment in Urban Ethiopia

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  • Getinet, Astatike Haile

Abstract

Various studies on the Ethiopian economy in general and the urban sector in particular have stated about the staggering level of unemployment in the country. Rapidly growing population and a less than satisfactory performance in economic growth over the years, among others, are to blame for this situation. That the unemployment situation is particularly rampant among the youth which constitutes over a third of the population calls for an urgent intervention aimed at improving the fate of the unemployed. Promoting self-employment forms an integral part of any intervention aimed at reducing unemployment. Given this, studying the determinants of self-employment is essential by way of informing concerned parties as to factors important in encouraging self-employment. As well as surveying the relevant literature, the study undertakes an empirical investigation into the nature of selfemployment using data from a unique panel data set, the Ethiopian Urban Socio- Economic Survey. Findings of the study give some evidence that self-employment is largely a route out of unemployment rather than being something driven by entrepreneurship. It also finds a declining trend in the patterns of self-employment over the study period. Very few studies have looked into issues relating to selfemployment in the context of developing countries in general, and none in the case of Ethiopia. As such, this study serves an important role shedding some light on issues pertaining to self-employment.

Suggested Citation

  • Getinet, Astatike Haile, 2009. "The Nature of self-employment in Urban Ethiopia," Ethiopian Journal of Economics, Ethiopian Economics Association, vol. 17(1), pages 1-80, February.
    • Handle: RePEc:ags:eeaeje:249691
    DOI: 10.22004/ag.econ.249691
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    References listed on IDEAS

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    Cited by:

    1. Simon Franklin, 2018. "Location, Search Costs and Youth Unemployment: Experimental Evidence from Transport Subsidies," Economic Journal, Royal Economic Society, vol. 128(614), pages 2353-2379, September.
    2. Simon Franklin, 2015. "Location, search costs and youth unemployment: A randomized trial of transport subsidies in Ethiopia," CSAE Working Paper Series 2015-11, Centre for the Study of African Economies, University of Oxford.
    3. Simon Franklin, 2016. "Location, Search Costs and Youth Unemployment: Experimental Evidence from Transport Subsidies in Addis Ababa," SERC Discussion Papers 0199, Centre for Economic Performance, LSE.

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