Perhaps the best summary measure of an economy’s progress is the level of productivity (measured as
the amount of output per unit of input) it achieves over time. An even cursory look at the relevant
literature and statistics suggests that raising productivity, and thus improving well-being, remains a
fundamental challenge in Ethiopia (Dercon (2000), Diao et al (2006), Taffesse (December 2006), Yu
(2005)). It follows as a corollary that further explorations into the causes of this outturn and possible
remedies thereof are still a priority. The present study hopes to contribute towards that end by
investigating the sources of growth in cereal production in the country.