Market imperfections in developing countries.

One common feature of developing countries is that rural population depends either directly or indirectly on agriculture and related activities. Agriculture, via crop production activities and employment, is the main source of income for the rural poor. (Diao, Hazell, & Thurlow, 2010) Yet, rural markets are often imperfect, underdeveloped or absent (Henning & Henningsen, 2007), which may be probably due, among other reasons, to economic isolation, information asymmetries, incomplete and non existing properties rights, etc. This may explain why there are a large proportion of households in developing economies that do not participate in the market either of products or factors. The aim of my thesis is then to explore the existence and plausible solutions to market imperfections in developing countries.

My first paper addresses the role of rural infrastructure investments in road quality and size on the decision to participate in the labor market for rural households in Tanzania.

The following papers are yet to be defined. I would explore the issue of lack of property rights in Tanzania and information asymmetries in India.

Nonetheless, I would be also interested in the possibility to explore behavioural economics topics in developing countries.