Using satellite imagery to monitor remote rural economies at high frequency

Tillmann von Carnap, Reza M. Asiyabi, Paul Dingus and Anna Tompsett
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Tillmann von Carnap: Center on Food Security and the Environment, Stanford University, Stanford, United States of America
Reza M. Asiyabi: Mistra Center for Sustainable Markets, Stockholm School of Economics, Stockholm, Sweden
Paul Dingus: Center on Food Security and the Environment, Stanford University, Stanford, United States of America

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Abstract: Despite global progress in reducing extreme poverty, stubborn pockets remain, often in remote and fragile regions. A fundamental obstacle to further progress is that remoteness and fragility also constrain our ability to monitor economic conditions. Using satellite imagery, we develop a new approach to monitor economic activity at periodic markets, focal points for rural trade throughout history and much of the world today. We describe how to detect marketplaces without pre-existing maps and how to construct an up-to-weekly measure of their activity. We show that we successfully detect marketplaces and that activity correlates with other measures of economic activity, captures seasonal patterns, and responds to local weather and conflict. Drawing on high frequency, globally available imagery, our approach enables real-time monitoring of economic activity independent of ground conditions. .

Date: 2024-07, Revised 2024-08
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