We study how the recent expansion of mobile phone coverage affects the degree of consumption smoothing using data collected in rural Uganda in 2003 and 2005. We found that mobile phone coverage helps consumption smoothing against covariate shocks but not idiosyncratic shocks. Unlike in studies...

As one of the measures to smooth income, this paper focuses on the diversification of labor allocation across activities. A key feature of this paper is that it pays particular attention to differences in the covariance between weather risk and agricultural wages and between weather risk and...