The authors use survey data from Bangladesh to present empirical evidence on externalities at household level sales decisions resulting from increasing returns to marketing. The increasing returns that arise from thick market effects and fixed costs imply that a trader is able to offer higher prices to producers if the marketed surplus is higher in villages. The semi-parametric estimates identify highly nonlinear own and cross commodity externality...
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INFORMATION
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2002/05/31
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Document de travail de recherche sur les politiques
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WPS2839
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1
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1
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2010/07/01
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Marketing externalities and market development
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free mobility of labor
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