Mobile Broadband Internet, Poverty and Labor Outcomes in Tanzania

Kalvin Bahia, Pau Castells, Takaaki Masaki, Genaro Cruz, Carlos Rodriguez Castelan and Viviane Sanfelice
Authors registered in the RePEc Author Service: Carlos Rodríguez-Castelán

No 9749, Policy Research Working Paper Series from The World Bank

Abstract: What are the impacts of expanding mobile broadband coverage on poverty, household consumption and labor market outcomes in developing countries? Who benefits from improved coverage of mobile internet? To respond to these questions, this paper applies a difference-in-differences estimation using panel household survey data combined with geospatial information on the rollout of mobile broadband coverage in Tanzania. The results reveal that being covered by 3G networks has a large positive effect on total household consumption and poverty reduction, driven by positive impacts on labor market outcomes. Working age individuals living in areas covered by mobile internet witnessed an increase in labor force participation, wage employment, and non-farm self-employment, and a decline in farm employment. These effects vary by age, gender and skill level. Younger and more skilled men benefit the most through higher labor force participation and wage employment, while high-skilled women benefit from transitions from self-employed farm work into non-farm employment.

Keywords: Information Technology; Telecommunications Infrastructure; Inequality; Employment and Unemployment; Wages; Compensation&Benefits (search for similar items in EconPapers)
Date: 2021-08-17
New Economics Papers: this item is included in nep-dev and nep-ict
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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Working Paper: Mobile Broadband Internet, Poverty and Labor Outcomes in Tanzania (2021)
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