Coordination risk and cost impacts on economic development in poor rural areas

Dorward, Andrew; Kydd, Jonathan; Poulton, Colin; Bezemer, Dirk

Abstract

This paper addresses issues relevant to a critical problem in economic development: how to get rapid pro-poor economic growth in poor rural areas in Africa and South Asia where most of the world’s dollar a day poor live. It examines constraints to the development of coordinated exchange systems in poor rural areas, focusing on the core problem of thin markets and low density of economic activity in these areas. Transaction cost and risk analysis is integrated into a conventional neoclassical production economics framework to describe the existence of low level equilibrium traps in transactions and supply chains and to generate important insights for development policy.

Citation

Dorward, A., Kydd, J., Poulton, C., & Bezemer, D. (2009). Coordination risk and cost impacts on economic development in poor rural areas. The Journal of Development Studies, 45(7), 1093-1112. https://doi.org/10.1080/00220380802550277

• Journal Article Type: Article
• Publication Date: Jan 1, 2009
• Deposit Date: Aug 25, 2010
• Publicly Available Date: Jan 22, 2025
• Print ISSN: 0022-0388
• Electronic ISSN: 1743-9140
• Publisher: Taylor and Francis Group
• Peer Reviewed: Peer Reviewed
• Volume: 45
• Issue: 7
• Pages: 1093-1112
• DOI: https://doi.org/10.1080/00220380802550277