Barriers to Private-Sector Arbitrage in Kenyan Maize Markets
Research Note
Published on 24 February 2015
Abstract
Limited access to capital, risk of unpredictable price fluctuations, and the availability of more profitable alternatives may limit traders’ willingness to arbitrage away seasonal price fluctuations in African agricultural markets.
This paper examines the role of trade networks in the dissemination and amplification of shocks, using the 2020 Ethiopian civil war as a quasi-natural experiment.
Covid-19 and other contagious diseases pose a threat to productivity by causing periods of mass absence. Paid sick leave can prevent the spread of disease and reduce turnover costs for employers, but workers often fear retribution for taking sick leave.
Markets in developing countries are often portrayed as dysfunctional, with low levels of competition and large numbers of unproductive firms. In theory, increased competition could work as a disciplining force in these settings.
Markets in developing countries are often portrayed as dysfunctional, with low levels of competition and large numbers of unproductive firms. In theory, increased competition could work as a disciplining force in these settings.
Landmines affect the lives of millions in many conflict-ridden communities long after the cessation of hostilities. However, there is little research on the role of demining.
A lack of trust in product quality can distort markets, reducing demand and investment. Can a low-touch information campaign improve confidence in fertiliser quality in Tanzania, raising demand for a critical agricultural input?
