This study explores the overall performance of the manufacturing sector in Ethiopia overrntime. It addresses two fundamental research questions: What is the long run impact ofrnmanufacturing growth on the Ethiopian economy? and what have been the majorrnexplaining factors of Ethiopian manufacturing performance overtime? It uses thernendogenous growth theory, specifically the Kaldor growth hypothesis; the heterodoxrneconomic approach with a focus on institutions, balanced and unbalanced theories ofrngrowth and the public policy endogenous growth theory as theoretical formulations tornempirically investigate the research questions. The research covers five independentrnarticles addressing the two major questions using different dataset and estimationrnapproaches. For the time series data, it uses the vector error correction model (VECM),rnGranger causality, the impulse response function and the autoregressive distributive lagrn(ARDL) parametric estimation approaches. For cross-sectional data, a non-parametricrnsocial accounting matrix (SAM) multiplier analysis is computed. The research also usesrnindustry level panel data for exploring the link between energy use and labor productivityrnin the manufacturing sector with a dynamic panel estimation approach.rnThe findings show that there is a long run positive relationship between manufacturing andrneconomic growth validating Kaldorâ€™s growth hypothesis in Ethiopia. The empiricalrnanalysis of the political economy of industrialization in Ethiopia shows that institutions,rnespecially political institutions, have been one major setback limiting the performance ofrnthe manufacturing sector in the country. This shows that the heterodox economic approachrnwith its institutional economic perspective is another framework to better understand thernindustry and economic structure of Ethiopia. The sectoral linkage analysis shows a weakrndirect and total linkage of multi-faceted industries with other sectors. Results, suggests thatrnthe agriculture-based industry is relevant for Ethiopia with higher output, GDP, demandrnand income multiplier coefficients. The research further validates the public policyrnendogenous growth theory in Ethiopia at the industry level, with a significant effect ofrnpublic policy instruments on Ethiopian industry growth in the long run. The last paperrnconfirms that energy has been other major factor affecting manufacturing productivity inrnEthiopia. Yet, the research validates different theories empirically taking Ethiopia as a casernstudy. In a nutshell, the study 5implies a focus should be given to the political economyrnenvironment, agriculture-based industries, public policy instruments and efficient energyrnuse to induce industrialization in Ethiopia.