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on Information and Communication Technologies |
| By: | Gianfranco E. Atzeni; Oliviero A. Carboni |
| Abstract: | This paper investigates on a marked case of regional inequality concerning the information and communication technology adoption process and the role of subsidies in Italy. There is a consolidated and persistent gap between the industrialized North and the sensibly backward South. Econometric results show that adoption of ICT is affected by the geographical location, the industry and firm characteristics. A matching estimator is applied to explore subsidies effectiveness. We find that subsidies have a significant impact but only for small firms. Given the firm system in Italy, we conclude that, to limit the acceleration of Italian North-South dualism, subsidies should only be granted to small firms. |
| Keywords: | Information and Communication Technologies, Regional Disparities, Digital Divide, Subsidies, Treatment Effect, Nearest Neighbour Matching Estimator |
| JEL: | C21 D21 L2 O18 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:cns:cnscwp:200608&r=ict |
| By: | Menzie D. Chinn (University of Wisconsin, Madison and NBER); Robert W. Fairlie (University of California, Santa Cruz and IZA Bonn) |
| Abstract: | Computer and Internet use, especially in developing countries, has expanded rapidly in recent years. Even in light of this expansion in technology adoption rates, penetration rates differ markedly between developed and developing countries and across developing countries. To identify the determinants of cross-country disparities in personal computer and Internet penetration, both currently and over time, we examine panel data for 161 countries over the 1999-2004 period. We explore the role of a comprehensive set of economic, demographic, infrastructure, institutional and financial factors in contributing to the global digital divide. We find evidence indicating that income, human capital, the youth dependency ratio, telephone density, legal quality and banking sector development are associated with technology penetration rates. Overall, the factors associated with computer and Internet penetration do not differ substantially between developed and developing countries. Estimates from Blinder-Oaxaca decompositions reveal that the main factors responsible for low rates of technology penetration rates in developing countries are disparities in income, telephone density, legal quality and human capital. In terms of dynamics, our results indicate fairly rapid reversion to long run equilibrium for Internet use, and somewhat slower reversion for computer use, particularly in developed economies. Financial development, either measured as bank lending or the value of stocks traded, is also important to the growth rate of Internet use. |
| Keywords: | technology, development, digital divide, Internet, computers |
| JEL: | O30 L96 |
| Date: | 2006–07 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp2206&r=ict |
| By: | Rachel BOCQUET (IREGE, IUT-University of Savoie); Olivier BROSSARD (LEREPS-GRES) |
| Abstract: | We use a specially designed survey on French firms located in Haute-Savoie to provide empirical evidence suggesting that IT adoption is not only influenced by the traditional factors of technology diffusion (rank, stock-order, epidemic effects and complementary organizational practices) but also by local diffusion of knowledge effects. The data collected permit us to make several advances. Firstly, we study the adoption of several authentic Information and Communication Technologies while the recent empirical literature has mainly focused on computer capital stocks or automation tools. Secondly, we construct measures to replace the traditional epidemic effect by different proximity variables. Thirdly, we assess the real impact of proximity on the IT adoption process by examining different channels of knowledge transmission among nearby firms, from knowledge spillovers to well-regulated arrangements. Our econometric methodology is designed to deal with potential biases that are encountered when implementing technology adoption equations and testing practice complementarities. In particular, we explicitly deal with the problem of simultaneous technological choices, using bivariate adoption equations. |
| Keywords: | Localized knowledge spillovers. Proximity.Technology diffusion. IT adoption. Complementary organizational practices |
| JEL: | L2 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:grs:wpegrs:2006-17&r=ict |