International Journal of Life Science and Engineering
Articles Information
International Journal of Life Science and Engineering, Vol.1, No.1, Mar. 2015, Pub. Date: Apr. 2, 2015
ICT & Economic Growth: A Comparison Between Developed & Developing Countries
Pages: 26-32 Views: 2253 Downloads: 3167
Authors
[01] Ahmad Jafari Samimi, Department of Economics, Faculty of Economics & Administrative Sciences, University of Mazandaran, Babolsar, Iran.
[02] Robabe Babanejad Ledary, Department of Management, Rahedanesh Institute of Higher Education, Babol, Iran.
[03] Mohammad Hossein Jafari Samimi, Department of Industrial Management, Faculty of Economics & Administrative Sciences, University of Mazandaran, Babolsar, Iran.
Abstract
Information and Communication technology (ICT) plays a very important role in macroeconomics of both developed as well as developing countries. The impact of ICT usage on promotion innovation, raising productivity and increasing economic growth and therefore economic well-being of human beings are being emphasized in recent studies especially during the last decade of twentieth and the first decade of twenty first century. The purpose of this paper is to compare the impact of ICT on economic growth in developed and developing countries. To do so, we have used a sample of both countries for which the necessary data were available for the period 2001-2012. Having concentrate on the usage aspect of ICT to deal with its impact on economic growth we have used a new composite index of ICT called Digital Opportunity Index (DOI) covering 3 dimensions including overall opportunity, infrastructure and application. Our findings based on panel data regression models indicate that in general significance and positive relationship between ICT and economic growth exists in both developed and developing countries. However, our results indicated a stronger impact for the developing countries. This may be due to a relatively more recent usage of ICT in developing countries .I other words; these countries experience the early stage of using ICT as compared to developed countries. Therefore, policies to promote usage of ICT in all countries especially in developing countries are suggested.
Keywords
Digital Opportunity Index, ICT, Economic Growth, Developed Countries, Panel Data
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