Market institutions: enhancing the value of rural-urban links

This paper examines how market institutions can affect links between urban and rural areas with specific emphasis on goods market integration in the national context. Traditionally, development researchers and practitioners have focused either on rural market development or on urban market developme...

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Autores principales: Chowdhury, Shyamal, Negassa, Asfaw, Torero, Máximo
Formato: Brief
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2005
Materias:
Acceso en línea:https://hdl.handle.net/10568/160608
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author Chowdhury, Shyamal
Negassa, Asfaw
Torero, Máximo
author_browse Chowdhury, Shyamal
Negassa, Asfaw
Torero, Máximo
author_facet Chowdhury, Shyamal
Negassa, Asfaw
Torero, Máximo
author_sort Chowdhury, Shyamal
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper examines how market institutions can affect links between urban and rural areas with specific emphasis on goods market integration in the national context. Traditionally, development researchers and practitioners have focused either on rural market development or on urban market development without considering the interdependencies and synergies between the two. However, more than ever before, emerging local and global patterns such as the modern food value-chain led by supermarkets and food processors, rapid urbanization, changes in dietary composition, and enhanced information and communication technologies point to the need to pay close attention to the role of markets both in linking rural areas with intermediate cities and market towns and promotion of economic development and poverty reduction. This paper begins with a presentation of a conceptual framework of market integration and then identifies five major factors that increase the transfer costs that subsequently hinder market integration between rural and urban areas: information asymmetry, transaction costs, transport and communication costs, policy induced barriers, and social and noneconomic factors. Five specific cases in five developing countries are examined in this study to demonstrate the primary sources of transfer costs and the aspects of market institutions that are important to market integration and promotion of rural-urban linkages.
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spelling CGSpace1606082025-11-06T04:45:34Z Market institutions: enhancing the value of rural-urban links Chowdhury, Shyamal Negassa, Asfaw Torero, Máximo rural areas urban areas economic distribution markets costs poverty governance This paper examines how market institutions can affect links between urban and rural areas with specific emphasis on goods market integration in the national context. Traditionally, development researchers and practitioners have focused either on rural market development or on urban market development without considering the interdependencies and synergies between the two. However, more than ever before, emerging local and global patterns such as the modern food value-chain led by supermarkets and food processors, rapid urbanization, changes in dietary composition, and enhanced information and communication technologies point to the need to pay close attention to the role of markets both in linking rural areas with intermediate cities and market towns and promotion of economic development and poverty reduction. This paper begins with a presentation of a conceptual framework of market integration and then identifies five major factors that increase the transfer costs that subsequently hinder market integration between rural and urban areas: information asymmetry, transaction costs, transport and communication costs, policy induced barriers, and social and noneconomic factors. Five specific cases in five developing countries are examined in this study to demonstrate the primary sources of transfer costs and the aspects of market institutions that are important to market integration and promotion of rural-urban linkages. 2005 2024-11-21T09:51:18Z 2024-11-21T09:51:18Z Brief https://hdl.handle.net/10568/160608 en Open Access application/pdf International Food Policy Research Institute Chowdhury, Shyamal; Negassa, Asfaw; Torero, Maximo. Market institutions: enhancing the value of rural-urban links. FCND Discussion Paper Brief. 195. International Food Policy Research Institute (IFPRI). https://hdl.handle.net/10568/160608
spellingShingle rural areas
urban areas
economic distribution
markets
costs
poverty
governance
Chowdhury, Shyamal
Negassa, Asfaw
Torero, Máximo
Market institutions: enhancing the value of rural-urban links
title Market institutions: enhancing the value of rural-urban links
title_full Market institutions: enhancing the value of rural-urban links
title_fullStr Market institutions: enhancing the value of rural-urban links
title_full_unstemmed Market institutions: enhancing the value of rural-urban links
title_short Market institutions: enhancing the value of rural-urban links
title_sort market institutions enhancing the value of rural urban links
topic rural areas
urban areas
economic distribution
markets
costs
poverty
governance
url https://hdl.handle.net/10568/160608
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