nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2016‒05‒14
four papers chosen by
Walter Frisch
Universität Wien

  1. The Role of ICT in Reducing Information Asymmetry for Financial Access By Simplice Asongu; Bertrand Moulin
  2. Towards the massification of broadband internet access in Brazil: an application of alternative dispute resolution settlement of administrative proceedings. By Charlita de Freitas, Luciano; Fagundes Ferreira, Flávio; Bernardes da Silva Júnior, Osmar; Azevedo Marques Mello da Silva, João Marcelo; Vilas Boas de Freitas, Igor
  3. Digital Currencies, Decentralized Ledgers, and the Future of Central Banking By Max Raskin; David Yermack
  4. The Impact of Software Piracy on Inclusive Human Development: Evidence from Africa By Asongu, Simplice; Andrés, Antonio R.

  1. By: Simplice Asongu (Yaoundé/Cameroun); Bertrand Moulin (Yaoundé/Cameroun)
    Abstract: This study assesses the role of ICT in complementing private credit bureaus (PCB) and public credit registries (PCR) in reducing information asymmetry for financial access. The empirical evidence is based on Generalised Method of Moments with 53 African countries for the period 2004-2011. The following findings are established. First on financial access: (i) the marginal effects from interactions between ICT and PCR (PCB) are consistently positive (negative); (ii) net effects from interactions are negative with the higher magnitude from PCR and (iii) only thresholds corresponding to interactions between PCR and internet penetration are within range. Second, findings on financial allocation efficiency reveal positive marginal and net effects exclusively for mobile phones and PCR. Third, allocation efficiency may be constrained by increasing financial deposits. Overall, the complementarity between information offices and ICT in boosting financial access is still very limited. Policy implications are discussed with emphasis on improving the engaged complementarity and fighting surplus liquidity.
    Keywords: Financial access; Information asymmetry; ICT
    JEL: G20 G29 L96 O40 O55
    Date: 2016–01
  2. By: Charlita de Freitas, Luciano; Fagundes Ferreira, Flávio; Bernardes da Silva Júnior, Osmar; Azevedo Marques Mello da Silva, João Marcelo; Vilas Boas de Freitas, Igor
    Abstract: In 2012, the Brazilian Telecommunications Regulatory Agency (Anatel) ruled the Conduct Adjustment Commitment (TAC). It refers to an alternative dispute resolution mechanism that allows shifting pecuniary penalties into infrastructure investments. This case study approaches the setting up of strategic investment projects and the definition of a methodology framework set to maximize the benefits of resource allocation. To reach its objective 5,565 municipalities were divided in clusters and ranked according to priority destination for investments. Results include a short list of preferential projects focused on enhancing broadband infrastructure, encouraging the competition and to enhance quality of services performance. Outputs of the methodology suggest that municipalities located at the outskirt of metropolitan regions, evenly distributed throughout the country, with relative lower HDI and higher demographic density are the top ranked destination for investment.
    Keywords: Alternative dispute resolution settlement; enforcement proceedings; cluster analysis; broadband infrastructure investment; TAC; Telecomnuicações; Brazil.
    JEL: K23 L5 L96 O2
    Date: 2016–02–01
  3. By: Max Raskin; David Yermack
    Abstract: Central banking in an age of digital currencies is a fast-developing topic in monetary economics. Algorithmic digital currencies such as bitcoin appear to be viable competitors to central bank fiat currency, and their presence in the marketplace may pressure central banks to pursue tighter monetary policy. More interestingly, the blockchain technology behind digital currencies has the potential to improve central banks’ payment and clearing operations, and possibly to serve as a platform from which central banks might launch their own digital currencies. A sovereign digital currency could have profound implications for the banking system, narrowing the relationship between citizens and central banks and removing the need for the public to keep deposits in fractional reserve commercial banks. Debates over the wisdom of these policies have led to a revival of interest in classical monetary economics.
    JEL: E42 E51 E52 E58 G21
    Date: 2016–05
  4. By: Asongu, Simplice; Andrés, Antonio R.
    Abstract: The study examines the effect of software piracy on inclusive human development in 11 African countries for which software piracy data is available for the period 2000-2010. The empirical evidence is based on instrumental variable panel Fixed Effects (FE) and Tobit models in order to control for the unobserved heterogeneity and limited range in the dependent variable. The modeling exercise is based on the inequality adjusted human development (IHDI) and its constituents. The following main findings are established. First, from the FE regressions, software piracy consistently improves the IHDI and its constituents. Within this framework, the positive relationship between inclusive human development and software piracy is driven by all its constituents. Second, for Tobit regressions, the positive relationship between software piracy and inclusive human development is confirmed exclusively in the IHDI and literacy specifications. Within the latter framework, the positive relationship between software piracy and inclusive human is driven fundamentally by the literacy rate. Policy implications are discussed.
    Keywords: Software piracy; Human development; Intellectual property rights; Panel data, Instrumental variables
    JEL: K42 O34 O38 O47 O57
    Date: 2015–12

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