The growing number of states with weak capacity to carry out basic governance functions is leading to unacceptable levels of human suffering. Using Ethiopia as a case study, this book acknowledges the multidimensional nature of state fragility and highlights the non-political factors that drive it.

The first part uses institutional theory to explore how weak institutions become a source of state fragility by undermining social cohesion and the broader economic progress of countries. Part two examines the role of entrepreneurship and industrial policy as a means of creating and...