The present study aims to evaluate the impact of information and communication technology (ICT) on the economic growth of selected developing countries in the Middle East and North Africa (MENA) region and the Sub-Saharan Africa (SSA) region by using a panel Generalized Method of Moment (GMM) growth model over the period 2007–2016. The results extracted from the econometric model show that except fixed telephone, other information and communication technologies such as mobile phone, Internet usage, and broadband adoption are the main drivers of economic growth in MENA and SSA developing countries over the recent period 2007–2016. In addition, our findings confirm the superiority of MENA countries over SSA countries in the areas of Internet usage and broadband adoption. From a policy perspective, the results suggest that authorities in MENA and SSA countries should increase investments in ICT infrastructure. To benefit from the ICT drivers of economic growth, policymakers should enact several important policies that permit the development of financial sectors, provide a more convenient regulatory and institutional environment, increase economy openness, prioritize the allocation of resources to the development of ICT infrastructure, and contain the negative effects of inflation and government consumption.

Impact of Information and Communication Technology on Economic Growth: Evidence from Developing Countries

Digitalization, education and economic growth: A comparative analysis of Middle East and OECD countries

The present study aims to investigate the effects of information and communication technology, foreign direct investment, trade and renewable energy use with GDP growth in Pakistan using time series data ranging from 1985 to 2017. Stationarity of data was verified by using unit root tests including ADF and P-P, while an autoregressive distributed lag (ARDL) model was used to check the dynamic association amid prescribed variables with long- and short-run analysis. Furthermore, cointegrating regression analysis with FMOLS, DOLS and CCR was applied to validate the variables causality. The outcomes during long-run analysis show that ICTE, trade and renewable energy have constructive linkage to GDP growth, while foreign direct investment has adverse influence to GDP growth in Pakistan. Similarly, the outcomes from cointegrating regression technique exposed that all variables including foreign direct investment, ICTE and trade have positive and constructive association with GDP growth except renewable energy that causes the adverse association to GDP growth in Pakistan. On the basis of outcomes, we will discuss the policy recommendations.

Estimating the connection of information technology, foreign direct investment, trade, renewable energy and economic progress in Pakistan: evidence from ARDL approach and cointegrating regression analysis

This paper analyzes the impact of diverse ICT indicators on economic growth at both global and regional levels. The analysis is based on a sample of 149 counties over the period 1980-2015. The empirical exercise is based on Ordinary Least Squares (OLS), Pooled OLS, Two Stage Least Squares (2SLS) and Generalized Method of Moments (GMM) techniques. The results show that all indicators of ICT accelerate both global and regional economic growth. However, some indicators such as online service, telecommunication infrastructure and e-government are comparatively more conducive in enhancing economic growth. The analysis for the subsamples of developed, emerging and developing countries reveal that emerging and developing countries are gaining more form ICT than developed countries, validating the argument that these economies are ̳leapfrogging‘ through ICT. Moreover, the Principal Component Analysis (PCA) of ICT indicators also confirms the results. Findings of the study are shown to be robust to different specifications, to alternative econometric techniques, to different control variables, and to regional sub-samples. This study contributes to the economic growthICT nexus by introducing the novel measures of ICT infrastructure such as telecommunication, online service and e-government index unlike previous literature that mainly emphasized the importance of fixed telephone and broadband subscriptions. Findings of the study imply that investment in ICT infrastructure is essential to take the maximum benefit from the knowledge economy of 21 century.

https://www.econstor.eu/bitstream/10419/188352/1/pjcss431.pdf

Information and communication technology (ICT) and economic growth nexus: A comparative global analysis

In recent literature, the impact of economic policy uncertainty (EPU) on macro aspects have been investigated, but the aspect of energy, precisely renewable energy still to explore. The motivation of the study is to produce fresh evidence regarding the nexus between EPU and renewable energy consumption (REC) with the mediating role of forcing direct investment (FDI) and financial development (FD) in BRIC nations for the period 1997q1–2018q4. The study applied unit root tests following Ng-Perron and Zivot and Andrews for detecting variable’s stationary properties. The long-run cointegration was evaluated by implementing Bayer, Hanck combined the cointegration test, Bound testing approach, and tBDM test. Both linear and non-linear ARDL were implemented to evaluate long-run and short-run shocks, and directional causality was assessed through a non-granger causality test. Furthermore, the study implemented robustness by implementing fully-modified OLS, dynamic OLS, and canonical cointegrating regression (CCR). Unit root test established the variables are stationary after the first difference; moreover, the Bayer and Hanck cointegration test confirmed the long-run association between EPU, FD, FD, and REC in BRIC nations. Accruing to ARDL estimation, adverse effects running from EPU to REC both in the long run and short run. Furthermore, the positive statistically significant linkage revealed for FDI and FD to REC implies that clean energy integration could be augmented with continual inflows of FDI and development of the financial sector. Model estimation with asymmetric assumption, the study documented asymmetric effects running from EPU, FDI, and FD to renewable energy consumption, especially in the long run. Finally, the directional causality revealed unidirectional causality between REC and EPU, whereas the feedback hypothesis was disclosed for FDI and REC] and FD and REC. Study findings postulated that the role of foreign direct investment and financial development is critically significant because technological advancement and capital investment augment clean energy integration through the application of renewable energy.

https://www.mdpi.com/1996-1073/14/15/4687/pdf

Nexus between Economic Policy Uncertainty and Renewable Energy Consumption in BRIC Nations: The Mediating Role of Foreign Direct Investment and Financial Development

New growth theories hypothesize economic growth processes as heavily dependent on investment in Information and Communication Technology (ICT). However, the full empirical verification of this hypothesis still is an open task, particularly when growth is considered within selected countries such as the OIC1 countries. Furthermore, the conclusions derived from research concerning the causal relationship between ICT and economic growth is often sensitive to the research methodology employed. This paper employs dynamics and static panel data approach within a framework of growth model and apply them to the economy of OIC countries over the time period of 1990-2014. The estimates reveal a significant impact of investments in ICT on economic growth in the countries considered. The policy implication of this paper is that the OIC countries should design specific policies for promoting investment in ICT.

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The Impact of Information and Communication Technology (ICT) on Economic Growth in the OIC Countries

Concerning environmental pollution issues derived from fossil energy consumption, the application of renewable energies plays an important role in countries, especially in their energy sector policymaking. Since determining the relationship between different variables and renewable energy not only has significant policy applications in energy sector but also is necessary in achieving sustainable development goals, this study assesses the impact of effective factors on the development of renewable energy consumption in Iran with emphasis on the role of foreign direct investment (FDI) and financial sector development (especially stock market development). This study applies Auto-Regressive Distributed Lag (ARDL) bounding test method over the period of 1978-2016. The research findings show that there is a causal relationship between foreign direct investment and the stock market and renewable energy consumption in Iran such that the increase of foreign direct investment and stock market development will increase the consumption of renewable energies in Iran. On the other hand, a growth in renewable energies consumption will significantly reduce CO2 emission in the long run. Besides, increasing FDI and stock market development will raise the economic growth of a country and, in return, increase CO2 emission.

https://www.jree.ir/article_105913_bcc3436bf9b19113f9234cda0527117d.pdf

Foreign Direct Investment, Stock Market Development, and Renewable Energy Consumption: Case Study of Iran

The effect of human capital on economic growth: The case of Iran’s provinces

Persian rugs are woven in different parts of the Islamic Republic of Iran. However, the rugs woven in Eastern Azerbaijan, Esfahan, and Qum have a worldwide reputation. A poliy Analysis Matrix (PAM) is used to study the rug industry in these provinces. Our analysis is concentrated on the most-exported hand-woven rug-named 65-Radj Cheleh Abrishami Silk Flower-using 2006 data. The results indicate that the export competitive indexes for the three provinces are 0.81, 0.88, and 0.93, respectively. Based on these indices the 65-Radj Cheleh Abrishami Silk Flower rug can compete in the world markets. The comparative advantage indices for the three provinces are 0.83, 0.79 and 0.84, respectively. These numbers show that the provinces have a comparative advantage in the production of the rug in question.

Mahdieh Rezagholizadeh

Papers

The Impact of Information and Communication Technology (ICT) on Economic Growth in the OIC Countries

Foreign Direct Investment, Stock Market Development, and Renewable Energy Consumption: Case Study of Iran

The effect of human capital on economic growth: The case of Iran’s provinces

The Impact of Trade Liberalization on Persian Rugs: A Policy Analysis Matrix Approach

A Study of Iran’s Comparative Advantage in Saffron, the Red Gold