EconPapers    
Economics at your fingertips  
 

Infrastructure Improvements and Maize Market Integration: Bridging the Zambezi in Mozambique

Sam Jones and César Salazar

American Journal of Agricultural Economics, 2021, vol. 103, issue 2, 620-642

Abstract: Historically, transport infrastructure connecting the most agriculturally productive areas of Mozambique and the richer southern region has been poor. A primary bottleneck was an unreliable ferry service over the Zambezi river, addressed by construction of a road bridge in 2009. In this paper we identify the impact of this transport infrastructure enhancement on integration of national maize markets. Applying a dyadic regression approach, we find a significant narrowing of equilibrium price differences among market pairs that experienced a large relative reduction in journey times due to the new bridge. We also estimate that the elasticity of the absolute price differential with respect to intermarket driving times is around 30%. As such, the new bridge infrastructure enhanced market integration by shrinking the “internal border” at the river, but such benefits were spatially limited.

Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://doi.org/10.1111/ajae.12103

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wly:ajagec:v:103:y:2021:i:2:p:620-642

Access Statistics for this article

More articles in American Journal of Agricultural Economics from John Wiley & Sons
Bibliographic data for series maintained by Wiley Content Delivery ().

 
Page updated 2021-05-12
Handle: RePEc:wly:ajagec:v:103:y:2021:i:2:p:620-642