The Puzzle of Mobile Money Markets: An Example of Goldilocks Conditions
Abstract
This paper investigates the supply-side and demand-side factors that explain the success
of mobile money markets. Namely, we argue that there exists a set of Goldilocks conditions
that best supports mobile money services. A population must have exposure to financial
services to understand mobile money and have a high enough level of income to have
a use for these services. However, the population must also not have access to highly
developed banking architecture, such that their banking needs are already satisfied.
By comparing El Salvador and Kenya, countries in different stages of development,
we find empirical support for our hypothesis. Our evidence suggests that low income
regions and households with some exposure to financial services are more likely to
use mobile money than fully banked people who enjoy a higher income.
Type
Honors thesisDepartment
EconomicsPermalink
https://hdl.handle.net/10161/14267Citation
Martinez-Cid, Ricardo; & Pernas, Gonzalo (2017). The Puzzle of Mobile Money Markets: An Example of Goldilocks Conditions. Honors thesis, Duke University. Retrieved from https://hdl.handle.net/10161/14267.Collections
More Info
Show full item record
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License.
Rights for Collection: Undergraduate Honors Theses and Student papers
Works are deposited here by their authors, and represent their research and opinions, not that of Duke University. Some materials and descriptions may include offensive content. More info