Ethnic Ties in Trade Relationships and the Impact on Economic Performance: The Case of Small-Scale Producers in the Handloom Sector in Ethiopia

Research output: Contribution to journalArticleAcademicpeer-review

4 Citations (Scopus)

Abstract

This article analyses the importance of ethnic ties in trade relationships of small-scale producers in the handloom sector in Ethiopia using both a non-parametric and a parametric statistical method. It is shown how various socio-economic characteristics of producers lead to ethnic ties with traders. It is also shown that ethnic ties affect the performance of producers negatively. Apparently the positive effect of ethnic ties, through the reduction of transaction costs arising from market imperfections, does not outweigh the negative effects of closed social networks
Original languageEnglish
Pages (from-to)1241-1260
JournalJournal of Development Studies
Volume47
Issue number8
DOIs
Publication statusPublished - 2011

Keywords

  • developing-countries
  • networks
  • trust
  • credit
  • firm

Fingerprint Dive into the research topics of 'Ethnic Ties in Trade Relationships and the Impact on Economic Performance: The Case of Small-Scale Producers in the Handloom Sector in Ethiopia'. Together they form a unique fingerprint.

Cite this