From Roving Bandit, these striking graphs show how close a given point in Ethiopia is to international and domestic demand centers, respectively, in terms of travel time. If you're a farmer, living in a green area means your end markets are very far away, and transport will eat up a big chunk of the end price of whatever you're producing.Transport times like this give you large import/export parity price wedges like this:
... which obviously leads to a lot of price volatility, which is bad for producers and consumers alike.(the latter graph is a favorite of mine from the World Development Report 2008 on agriculture and development.)
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