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Industries without smokestacks in Uganda and Rwanda

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  • John Spray
  • Sebastian Wolf

Abstract

We use unique high-frequency Government of Uganda and Government of Rwanda tax administration datasets to map the characteristics of 'industries without smokestacks' in East Africa. First, we find firm size appears to be crucial for successful industries without smokestacks in services and agro-processing. Second, we find that firms do not need to be active in the external economy themselves to achieve high levels of productivity, but that strong links to external sector actors are more common among more productive firms.

Suggested Citation

  • John Spray & Sebastian Wolf, 2017. "Industries without smokestacks in Uganda and Rwanda," WIDER Working Paper Series wp-2017-12, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2017-12
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    File URL: https://www.wider.unu.edu/sites/default/files/wp2017-12.pdf
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    References listed on IDEAS

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    5. Hans-Georg Petersen, 2010. "Tax systems and tax harmonisation in the East African Community (EAC)," Finanzwissenschaftliche Diskussionsbeiträge 60, Universität Potsdam, Wirtschafts- und Sozialwissenschaftliche Fakultät.
    6. Beata Smarzynska Javorcik, 2004. "Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers Through Backward Linkages," American Economic Review, American Economic Association, vol. 94(3), pages 605-627, June.
    7. Dihel, Nora & Fernandes, Ana Margarida & Mattoo, Aaditya & Strychacz, Nicholas, 2010. "Reform and Regional Integration of Professional Services in East Africa," World Bank - Economic Premise, The World Bank, issue 32, pages 1-7, September.
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    Cited by:

    1. Franque Grimard, 2019. "The Services Industry and its Potential for Youth and Women Employment in an African Context: A review of the literature," Working Papers idrcdpruservices, University of Cape Town, Development Policy Research Unit.

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