The Adoption of Network Goods: Evidence from the Spread of Mobile Phones in Rwanda.
This article develops a method to estimate and simulate the adoption of a network good. I estimate demand for mobile phones as a function of individuals' social networks, coverage, and prices, using transaction data from nearly the entire network of Rwandan mobile phone subscribers at the time, over...
| Publicado en: | Review of Economic Studies Vol. 86; no. 3; pp. 1033 - 1061 |
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| Formato: | Artículo |
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Oxford University Press / USA
May2019
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=136137752&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 136137752 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00346527 REM jtl: Review of Economic Studies issn: 00346527 maglogo: N pubinfo: dt: May2019 vid: 86 iid: 3 pid: 622 pub: Oxford University Press / USA artinfo: ui: 136137752 10.1093/restud/rdy024 ppf: 1033 ppct: 28 formats: tig: atl: The Adoption of Network Goods: Evidence from the Spread of Mobile Phones in Rwanda. aug: au: Björkegren, Daniel affil: Brown University su: Economic demand Cell phones Public welfare Rural telecommunication Subscription services Wireless telecommunication services industry sug: subj: Economic demand Cell phones Public welfare Rural telecommunication Emergency and Other Relief Services Other Individual and Family Services Health and Welfare Funds Administration of Human Resource Programs (except Education, Public Health, and Veterans' Affairs Programs) Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing Wireless Telecommunications Carriers (except Satellite) Electronics Stores Electronic components, navigational and communications equipment and supplies merchant wholesalers Subscription services Wireless telecommunication services industry keyword: Information technology Infrastructure Network goods Information technology Infrastructure Network goods ab: This article develops a method to estimate and simulate the adoption of a network good. I estimate demand for mobile phones as a function of individuals' social networks, coverage, and prices, using transaction data from nearly the entire network of Rwandan mobile phone subscribers at the time, over 4.5 years. I estimate the utility of adopting a phone based on its eventual usage: subscribers pay on the margin, so calls reveal the value of communicating with each contact. I use this structural model to simulate the effects of two policies. A requirement to serve rural areas lowered operator profits but increased net social welfare. Developing countries heavily tax mobile phones, but standard metrics that neglect network effects grossly understate the true welfare cost in a growing network, which is up to 3.12 times the revenue raised. Shifting from handset to usage taxes would have increased the surplus of poorer users by at least 26%. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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