IDEAS home Printed from https://ideas.repec.org/a/eee/deveco/v170y2024ics0304387824000634.html
   My bibliography  Save this article

The welfare effects of mobile broadband internet: Evidence from Nigeria

Author

Listed:
  • Bahia, Kalvin
  • Castells, Pau
  • Cruz, Genaro
  • Masaki, Takaaki
  • Pedrós, Xavier
  • Pfutze, Tobias
  • Rodríguez-Castelán, Carlos
  • Winkler, Hernán

Abstract

This paper estimates the impacts of mobile broadband coverage on household welfare in Nigeria. The analysis exploits a unique data set that integrates a longitudinal household survey with information from Nigerian mobile operators on the deployment of mobile broadband internet between 2010 and 2016. Overall, estimates show that mobile broadband coverage had large and positive impacts on household consumption thereby reducing poverty significantly. This effect is if anything stronger among poorer households. Labor force participation explains a big part of this welfare-enhancing effect.

Suggested Citation

  • Bahia, Kalvin & Castells, Pau & Cruz, Genaro & Masaki, Takaaki & Pedrós, Xavier & Pfutze, Tobias & Rodríguez-Castelán, Carlos & Winkler, Hernán, 2024. "The welfare effects of mobile broadband internet: Evidence from Nigeria," Journal of Development Economics, Elsevier, vol. 170(C).
    • Handle: RePEc:eee:deveco:v:170:y:2024:i:c:s0304387824000634
    DOI: 10.1016/j.jdeveco.2024.103314
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0304387824000634
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jdeveco.2024.103314?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Chun, Natalie & Tang, Heiwai, 2018. "Do Information and Communication Technologies Empower Female Workers? Firm-Level Evidence from Viet Nam," ADB Economics Working Paper Series 545, Asian Development Bank.
    2. Natalie Chun & Heiwai Tang, 2018. "Do Information and Communication Technologies Empower Female Workers? Firm-Level Evidence from Viet Nam," Working Papers id:12804, eSocialSciences.
    3. Heidi Kaila & Finn Tarp, 2019. "Can the Internet improve agricultural production? Evidence from Viet Nam," Agricultural Economics, International Association of Agricultural Economists, vol. 50(6), pages 675-691, November.
    4. Joaquin Marandino & Phanindra V. Wunnava, 2017. "The Effect of Access to Information and Communication Technology on Household Labor Income: Evidence from One Laptop Per Child in Uruguay," Economies, MDPI, vol. 5(3), pages 1-10, September.
    5. Maude Hasbi & Antoine Dubus, 2019. "Determinants of Mobile Broadband Use in Developing Economies: Evidence from Sub-Saharan Africa," Working Papers hal-02264651, HAL.
    6. Fernandes, Ana M. & Mattoo, Aaditya & Nguyen, Huy & Schiffbauer, Marc, 2019. "The internet and Chinese exports in the pre-ali baba era," Journal of Development Economics, Elsevier, vol. 138(C), pages 57-76.
    7. Nidhiya Menon, 2010. "Got Technology? The Impact of Computers and Cell-phones on Productivity in a Difficult Business Climate: Evidence from Firms with Female Owners in Kenya," Working Papers 21, Brandeis University, Department of Economics and International Business School.
    8. David Yanagizawa-Drott, 2014. "Propaganda and Conflict: Evidence from the Rwandan Genocide," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 129(4), pages 1947-1994.
    9. Hasbi, Maude & Dubus, Antoine, 2019. "Determinants of Mobile Broadband Use in Developing Economies: Evidence from Nigeria," 2nd Europe – Middle East – North African Regional ITS Conference, Aswan 2019: Leveraging Technologies For Growth 201730, International Telecommunications Society (ITS).
    10. Janine Aron, 2018. "Mobile Money and the Economy: A Review of the Evidence," The World Bank Research Observer, World Bank, vol. 33(2), pages 135-188.
    11. Diether W. Beuermann & Christopher McKelvey & Renos Vakis, 2012. "Mobile Phones and Economic Development in Rural Peru," Journal of Development Studies, Taylor & Francis Journals, vol. 48(11), pages 1617-1628, November.
    12. Joshua D. Angrist & Jörn-Steffen Pischke, 2009. "Mostly Harmless Econometrics: An Empiricist's Companion," Economics Books, Princeton University Press, edition 1, number 8769.
    13. Salas Garcia, Vania B. & Fan, Qin, 2015. "Information Access and Smallholder Farmers’ Selling Decisions in Peru," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205380, Agricultural and Applied Economics Association.
    14. Jonas Hjort & Jonas Poulsen, 2019. "The Arrival of Fast Internet and Employment in Africa," American Economic Review, American Economic Association, vol. 109(3), pages 1032-1079, March.
    15. Hasbi, Maude & Dubus, Antoine, 2019. "Determinants of Mobile Broadband Use in Developing Economies: Evidence from Sub-Saharan Africa," 30th European Regional ITS Conference, Helsinki 2019 205180, International Telecommunications Society (ITS).
    16. Jenny C. Aker & Isaac M. Mbiti, 2010. "Mobile Phones and Economic Development in Africa," Journal of Economic Perspectives, American Economic Association, vol. 24(3), pages 207-232, Summer.
    17. Jenny C. Aker, 2011. "Dial “A” for agriculture: a review of information and communication technologies for agricultural extension in developing countries," Agricultural Economics, International Association of Agricultural Economists, vol. 42(6), pages 631-647, November.
    18. MARIANA Viollaz & Hernan Winkler, 2022. "Does the Internet Reduce Gender Gaps? The Case of Jordan," Journal of Development Studies, Taylor & Francis Journals, vol. 58(3), pages 436-453, March.
    19. World Bank, 2015. "More, and More Productive, Jobs for Nigeria," World Bank Publications - Reports 23962, The World Bank Group.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. He, Yuan & Li, Ke & Wang, Yipan, 2022. "Crossing the digital divide: The impact of the digital economy on elderly individuals’ consumption upgrade in China," Technology in Society, Elsevier, vol. 71(C).
    2. Bahia, Kalvin & Castells, Pau & Cruz, Genaro & Masaki, Takaaki & Rodriguez Castelan, Carlos & Sanfelice, Viviane, 2021. "Mobile Broadband Internet, Poverty and Labor Outcomes in Tanzania," IZA Discussion Papers 14720, Institute of Labor Economics (IZA).
    3. Masaki,Takaaki & Granguillhome Ochoa,Rogelio & Rodriguez Castelan,Carlos, 2020. "Broadband Internet and Household Welfare in Senegal," Policy Research Working Paper Series 9386, The World Bank.
    4. Caldarola, Bernardo & Grazzi, Marco & Occelli, Martina & Sanfilippo, Marco, 2023. "Mobile internet, skills and structural transformation in Rwanda," Research Policy, Elsevier, vol. 52(10).
    5. Kusumawardhani, Niken & Pramana, Rezanti & Saputri, Nurmala Selly & Suryadarma, Daniel, 2023. "Heterogeneous impact of internet availability on female labor market outcomes in an emerging economy: Evidence from Indonesia," World Development, Elsevier, vol. 164(C).
    6. Granguillhome Ochoa, Rogelio & Lach, Samantha & Masaki, Takaaki & Rodríguez-Castelán, Carlos, 2022. "Mobile internet adoption in West Africa," Technology in Society, Elsevier, vol. 68(C).
    7. Rodríguez-Castelán, Carlos & Araar, Abdelkrim & Malásquez, Eduardo A. & Granguillhome Ochoa, Rogelio, 2022. "Competition reform and household welfare: A microsimulation analysis of the telecommunication sector in Ethiopia," Telecommunications Policy, Elsevier, vol. 46(2).
    8. Mensah, Justice Tei, 2024. "Jobs! Electricity shortages and unemployment in Africa," Journal of Development Economics, Elsevier, vol. 167(C).
    9. Mensah,Justice Tei & Hirfrfot,Kibrom Tafere & Abay,Kibrom A., 2022. "Saving Lives through Technology : Mobile Phones and Infant Mortality," Policy Research Working Paper Series 9978, The World Bank.
    10. repec:ocp:rpaper:pp-0222 is not listed on IDEAS
    11. Houngbonon,Georges Vivien & Mensah,Justice Tei & Traore,Nouhoum-000531164, 2022. "The Impact of Internet Access on Innovation and Entrepreneurship in Africa," Policy Research Working Paper Series 9945, The World Bank.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bahia,Kalvin & Castells,Pau & Masaki,Takaaki & Cruz,Genaro & Rodriguez Castelan,Carlos & Sanfelice,Viviane, 2021. "Mobile Broadband Internet, Poverty and Labor Outcomes in Tanzania," Policy Research Working Paper Series 9749, The World Bank.
    2. Kusumawardhani, Niken & Pramana, Rezanti & Saputri, Nurmala Selly & Suryadarma, Daniel, 2023. "Heterogeneous impact of internet availability on female labor market outcomes in an emerging economy: Evidence from Indonesia," World Development, Elsevier, vol. 164(C).
    3. Jain Ritika, 2021. "Information and Communication Technology Adoption and the Demand for Female Labor: The Case of Indian Industry," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 21(2), pages 695-722, April.
    4. Jenny Aker & Joel Cariolle, 2022. "The Use of Digital for Public Service Provision in Sub-Saharan Africa," Post-Print hal-03003899, HAL.
    5. Edward J Oughton & Niccol`o Comini & Vivien Foster & Jim W Hall, 2021. "Policy choices can help keep 4G and 5G universal broadband affordable," Papers 2101.07820, arXiv.org, revised Feb 2021.
    6. Houngbonon,Georges Vivien & Mensah,Justice Tei & Traore,Nouhoum-000531164, 2022. "The Impact of Internet Access on Innovation and Entrepreneurship in Africa," Policy Research Working Paper Series 9945, The World Bank.
    7. Hermann Ndoya & Simplice A. Asongu, 2022. "Digital divide, globalization and income inequality in sub-Saharan African countries: analysing cross-country heterogeneity," Social Responsibility Journal, Emerald Group Publishing Limited, vol. 20(1), pages 1-19, October.
    8. Fatkhurrohman, 2021. "Access to Fintech and Poverty : Evidence from the Arrival of 4G Networks in Indonesia," Warwick-Monash Economics Student Papers 24, Warwick Monash Economics Student Papers.
    9. Oughton,Edward J. & Comini,Niccolo & Foster,Vivien & Hall,Jim W., 2021. "Policy Choices Can Help Keep 4G and 5G Universal Broadband Affordable," Policy Research Working Paper Series 9563, The World Bank.
    10. Rezki, Jahen F., 2023. "Does the mobile phone affect social development? Evidence from Indonesian villages," Telecommunications Policy, Elsevier, vol. 47(3).
    11. Jung, Suhyun & Rogers, Martha, 2024. "Mobile phone adoption, deforestation, and agricultural land use in Uganda," World Development, Elsevier, vol. 179(C).
    12. Fietz, Katharina & Lay, Jann, 2023. "Digitalisation and labour markets in developing countries," GIGA Working Papers 335, GIGA German Institute of Global and Area Studies.
    13. Zhao, Jianmei, 2018. "Internet access and rural household income in China," 2018 Annual Meeting, August 5-7, Washington, D.C. 274178, Agricultural and Applied Economics Association.
    14. Joël Cariolle & David A Carroll, 2020. "Digital Technologies for Small and Medium Enterprises and job creation in Sub-Saharan Africa," Working Papers hal-03004583, HAL.
    15. Taiwo Akinlo & James Temitope Dada, 2022. "Information technology, real sector and economic growth in sub-Saharan Africa: a cross-sectional dependence approach," Quality & Quantity: International Journal of Methodology, Springer, vol. 56(6), pages 4241-4267, December.
    16. Svenja Fluhrer & Kati Kraehnert, 2024. "Mobile phone network expansion and agricultural income: A panel study," Agricultural Economics, International Association of Agricultural Economists, vol. 55(1), pages 54-85, January.
    17. Ni Zhuo & Baozhi Li & Qibiao Zhu & Chen Ji, 2023. "Smartphone‐based agricultural extension services and farm incomes: Evidence from Zhejiang Province in China," Review of Development Economics, Wiley Blackwell, vol. 27(3), pages 1383-1402, August.
    18. Asif M. Islam & Silvia Muzi, 2022. "Does mobile money enable women-owned businesses to invest? Firm-level evidence from Sub-Saharan Africa," Small Business Economics, Springer, vol. 59(3), pages 1245-1271, October.
    19. Marco Manacorda & Andrea Tesei, 2020. "Liberation Technology: Mobile Phones and Political Mobilization in Africa," Econometrica, Econometric Society, vol. 88(2), pages 533-567, March.
    20. Sekabira, Haruna & Qaim, Matin, 2017. "Can mobile phones improve gender equality and nutrition? Panel data evidence from farm households in Uganda," Food Policy, Elsevier, vol. 73(C), pages 95-103.

    More about this item

    Keywords

    Household consumption; Mobile broadband; Africa; Nigeria;
    All these keywords.

    JEL classification:

    • F63 - International Economics - - Economic Impacts of Globalization - - - Economic Development
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:deveco:v:170:y:2024:i:c:s0304387824000634. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/devec .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.