Infrastructure deficiencies and adoption of mobile money in Sub-Saharan Africa

 Onokame MOthobi, Lukasz Grzybowski


In this research paper published in Information Economics and Policy, we study whether mobile phone users who live in areas with poor infrastructure are more likely to rely on mobile phones to make financial transactions than people living in areas with better infrastructure. Our results support the notion that mobile phones improve the livelihood of individuals residing in remote areas by providing them with access to financial services, which are otherwise not available physically. Our results are based on survey data conducted in 11 countries in Sub-Saharan Africa in 2011.



Transition from copper to fiber broadband: The role of connection speed and switching costs



In this research paper published in Information Economics and Policy, we analyze how users of Internet broadband services value the speed of connection. We also study how speed of connection influences their choices of different broadband technologies such as copper-based DSL and fiber. We find that at current levels of speed, consumer choices are relatively unaffected by differences in speed but they depend on switching costs between technologies, which may be due to factors such as installation and transaction costs. Our results are based on technology choices made over period of one year by customers of telecommunications operator.


The role of network effects and consumer heterogeneity in the adoption of mobile phones: evidence from South Africa



In this research paper published in Telecommunications Policy, we analyze the role of network effects in the adoption of mobile phones in South Africa between years 2008 and 2012. Due to network effects the value of mobile phones to consumers is greater when they are used by more people from their communications circle. We find that the greater is the number of mobile phones in the household, the greater is the likelihood that the other household members will also adopt a mobile phone. Without within-household network effects the penetration of mobile phones of 76.4% in 2012 would be lower by about 9.9 percentage points. Our results are based on a panel of South African households.