The Welfare Effects of Mobile Broadband Internet: Evidence from Nigeria

Abstract

This paper estimates the impacts of mobile broadband coverage on household consumption and poverty in Nigeria. The analysis exploits a unique dataset that integrates a longitudinal household survey with information from Nigerian mobile operators on the deployment of mobile broadband between 2010 and 2016. Estimates show that mobile broadband coverage had large and positive impacts on household consumption levels. Coverage also reduces the proportion of households below the poverty line, driven by higher food and non-food consumption in rural households. These effects are at least partially due to an increase in labor force participation and employment, particularly among women.

Keywords: Poverty, Household consumption, Mobile broadband, Digital inclusion, Nigeria

JEL Classification: D12, F63, I31, L86, O12