This paper uses firm level panel data from Ethiopian manufacturing to investigate the investment behavior of firms … under uncertainty. The paper focuses on the heterogeneity of firm level investment responses to both demand and supply side … sources of uncertainty. Accordingly, the investment-uncertainty relationship is examined across groups of firms with varying …

Panel data on Ghanaian manufacturing firms are used to test predictions from models of irreversible investment under …, higher uncertainty raises the hurdle level that triggers investment, and uncertainty has a negative effect on investment … levels that is greater for firms with more irreversible investment …