This article analyses state-society relations in Ethiopia with particular emphasis on the post-1991 period. The objective of the study is to identify and analyse the fundamental factors of state-society relations at the national level: property rights, political representation, and the urban-rural elite cleavage. The article views state-society relations at the local level with reference to perception and practice, taking into account symbols, social control, ability to make decisions and control over the means of violence. The study was conducted in eight purposively selected localities in three administrative regions in Ethiopia. The empirical data was collected at national and local levels using key informant interviews, focus group discussions, and a household survey. The analysis shows that state-society relations in Ethiopia are driven by three major factors: property rights, political representations and the urban-rural divide.