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Abstract

This paper examines the impact of mobile phones on farmers’ marketing decisions (spatial arbitrage, buyer’s choice, frequency of selling, and size of transaction) and prices they receive based on household and village level information collected from rural Ethiopia. It explains the reason for the weak impact of mobile phones observed in this study as well as in previous studies in Africa. We argue that even though many farmers participate in information searching, the number of farmers who use mobile phones for information searching is very small. The reason for such low use of mobile phones for information searching seems lack of quality information that can be accessed through mobile phones.

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