The impact of mobile phones on profits from livestock activities - - PowerPoint PPT Presentation

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The impact of mobile phones on profits from livestock activities - - PowerPoint PPT Presentation

Dilogo Regional sobre Sociedad de la Informacin The impact of mobile phones on profits from livestock activities Evidence from Puno - Peru Roxana Barrantes Instituto de Estudios Peruanos 4th Acorn Redecom Conference (Brasilia, Brazil)


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Diálogo Regional sobre Sociedad de la Información

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The impact of mobile phones on profits from livestock activities

Evidence from Puno - Peru

Roxana Barrantes Instituto de Estudios Peruanos

4th Acorn – Redecom Conference (Brasilia, Brazil) May 14-15, 2010

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Contents

  • Motivation
  • Some facts about the zone of study
  • Framework of analysis
  • Econometric Results
  • Way forward
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Motivation

  • In LDCs, mobile phones have been the first ICT used by

the rural poor –where poverty is concentrated.

  • “Use” differs from “Subscription” (Galperin and Mariscal,

2008; De Silva and Zainuden, 2007).

  • Basic question in this research:

– Is the mobile phone being used in the productive sphere? Is it the factor that brings about changes in the production function and not only on the marketing sphere?

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The area of study

  • Households in the area of influence of two fairs in Puno,

Southern Peru.

– One informant per household – 091020--Imagenes Puno.ppt – 090115--fotos.ppt

  • Small rural producers

– 667 HH are dedicated permanently to both Agriculture and Livestock husbandry.

  • Measured by UBN, HH are poorer than both average HH

in the region and in Peru.

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Framework of analysis

  • The Law of one price – facilitated by mobile phone use

(Jensen, 2007; Aker, 2008).

  • Relevant in the circulation sphere – marketing.
  • What happens in the household production function?
  • Data needed is not available in this sample
  • What happens with profits?
  • Cost implicitly informs about production function.
  • Sales proceeds – marketing new moving target in the ICT field.
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Analytical framework

  • Dependent Variable:

– Profits from agricultural activities – Profits from livestock husbandry

  • Independent variables:

– Human capital – Natural capital – Market orientation – Mobile phone

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Results

  • IV for mobile use
  • Only relevant when mobile was used by household head

and for livestock purposes

  • Not relevant to get information about the production process
  • Not relevant to explain agricultural profits
  • Specialization in by products but diversification of

livestock

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The way ahead

  • Time of use – process of adoption of technology among

the poor.

  • Production vs marketing decision-processes are different
  • Mobile is used as a reinforcer of existing ties so far.
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Diálogo Regional sobre Sociedad de la Información

Horacio Urteaga 694 Jesús María, Lima - PERU Teléfonos: ( 51-1) 3326194 / 4244856 Fax: (51-1) 3326173 info@dirsi.net www.dirsi.net

Roxana Barrantes roxbarrantes@iep.org.pe

Instituto de Estudios Peruanos

Horacio Urteaga 694 Teléfonos: (51 1) 332 6194 Fax: (51 1) 332 617399999999 roxbarrantes@iep.org.pe www.iep.org.pe