nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2021‒09‒20
twelve papers chosen by
Marek Giebel
Universität Dortmund

  1. Do ICTs drive wealth inequality? Evidence from a dynamic panel analysis By Henri Njangang; Alim Beleck; Sosson Tadadjeu; Brice Kamguia
  2. Towards Efforts to Enhance Tax Revenue Mobilisation in Africa: Exploring Synergies between Industrialisation and ICTs By Isaac K. Ofori; Pamela E. Ofori; Simplice A. Asongu
  3. Impact of Technical Barriers to Trade on the Trade in Goods in the Information and Communications Technology Sector: Differentiating by Aim of the Regulatory Measure By Mahdi Ghodsi
  4. Linear and non-linear effects of infrastructures on inclusive human development in Africa By Tii N. Nchofoung; Simplice A. Asongu; Arsène A. Njamen Kengdo; Elvis D. Achuo
  5. The Economic Impact of Mobile Broadband Speed By Edquist, Harald
  6. Technology, resources and geography in a paradigm shift: the case of Critical & Conflict Materials in ICTs By Diemer, Andreas; Iammarino, Simona; Perkins, Richard; Gros, Axel
  7. Estimating the effects of Covid-19 and 5G in the submarkets of internet and mobile shopping By Yang, Seungmi; Kwon, Youngsun
  8. Who develops AI-related innovations, goods and services?: A firm-level analysis By Hélène Dernis; Laurent Moussiegt; Daisuke Nawa; Mariagrazia Squicciarini
  9. Intellectual Capital, and Knowledge Processes for Organizational Innovativeness across Industries: The Case of Poland – the full version of a study published in JIC By Wioleta Kucharska
  10. ICT dynamics for gender inclusive intermediary education: minimum poverty and inequality thresholds in developing countries By Simplice A. Asongu; Mouna Amari; Anis Jarboui; Khaireddine Mouakhar
  11. Reducing air travel related greenhouse gas emissions in academia: An empirical policy overview By Kreil, Agnes S.; Stauffacher, Michael
  12. Optimal Transport based Drift Detection for Sensor Streams: Method and Applications in Transportation By Laha, A. K.; Verma, Shikha

  1. By: Henri Njangang (LAREFA, University of Dschang, Cameroon); Alim Beleck (HTTTC, University of Bamenda); Sosson Tadadjeu (LAREFA, University of Dschang, Cameroon.); Brice Kamguia (LAREFA, University of Dschang, Cameroon.)
    Abstract: Surprisingly, little is known about the cross-country effect of information and communication technology (ICT) on wealth inequality. At the same time, there is some tentative evidence suggesting that information and communication technology is positively correlated with income inequality. However, whether and how ICT affects wealth inequality is less explored, particularly because of the lack of reliable data on wealth inequality. This paper, therefore, fills this gap and contributes to this new literature by investigating the effect of ICT on wealth inequality in a sample of 45 developed and developing countries over the period 2000-2017. ICT is measured with six different indicators (including internet penetration, mobile penetration, ICT service exports, the ICT index, ICT quality, and ICT quantity), while wealth inequality is measured with three different indicators (comprising billionaire wealth to GDP, the Top 1% wealth share, and the Top 10% wealth share). The empirical analysis is based on the Generalised Method of Moments, and the results show that ICT increases wealth inequality. Furthermore, we show that democracy mitigates the increasing effect of ICT on wealth inequality. This result suggests that improving democracy in both developed and developing countries is an effective mechanism for mitigating the effects of ICT on wealth inequality. Therefore, we encourage efforts to implement democratic institutions that ensure respect for citizens' freedoms, greater democratic accountability, and executive constraints that allow for a more egalitarian distribution of wealth.
    Keywords: ICT; Wealth inequality; Panel data
    JEL: O15 O50 Q55
    Date: 2021–01
  2. By: Isaac K. Ofori (University of Insubria, Varese, Italy); Pamela E. Ofori (University of Insubria, Varese, Italy); Simplice A. Asongu (Yaoundé, Cameroon)
    Abstract: Motivated by the momentous rise in ICT diffusion, the implementation of the African Continental Free Trade Area agreement, and the expected rebound of foreign direct investment inflow to Africa from 2022, this study examines the joint effects of industrialisation and ICT diffusion on resource mobilisation in Africa. To this end, we use data on 42 African countries for the period 1996 – 2020 for the analysis. First, we provide evidence robust to several specifications from the dynamic system GMM to show that although unconditionally both industrialisation and ICT diffusion enhance (i) goods and services tax (GST), and (ii) profits, corporate and income tax (PCIT) mobilisation efforts in Africa, the effects of the former are rather remarkable in the presence of the latter. Particularly, the results show that, while ICTs amplify the effect of industrialisation on GST, only ICT usage and ICT skills matter for PCIT. Second, the study unveils ICT thresholds for complementary policies. Accordingly, industrialisation and ICTs are necessary and sufficient conditions for tax revenue mobilisation only below some ICT thresholds. Above these ICT thresholds, complementary policies are needed to maintain the overall positive incidence on tax revenue mobilisation. Policy recommendations are provided in the end.
    Keywords: AfCFTA; Africa; ICT access; ICT diffusion; Industrialisation; Tax; Revenue
    JEL: C33 F6 H2 H71 O33 O55
    Date: 2021–01
  3. By: Mahdi Ghodsi (The Vienna Institute for International Economic Studies, wiiw)
    Abstract: In this modern digital world, goods from the information and communications technology (ICT) sector are the engine of the global economy. While tariffs levied on ICT goods have been eliminated or significantly reduced since the conclusion in December 1995 of the Information Technology Agreement of the World Trade Organization (WTO), non-tariff measure (NTMs) have come to be used more frequently with regard to imports of these goods. Technical barriers to trade (TBTs), as the most important trade policy measure imposed on imports of ICT goods, form the focus of this study. This paper analyses how different types of TBTs imposed on imports of ICT goods globally affected the values and volumes of imported goods at the six-digit level of the Harmonised System (HS) during the period 1996-2018. Keywords cited in the TBTs notified to the WTO give an indication of the aims behind the imposition of TBTs. Therefore, this study digs deeper into the impact of 30 types of TBT, using the keywords cited. The methodology used in this paper controls for zero trade flows using the Pseudo Poisson Maximum Likelihood (PPML) technique; and it controls for endogeneity bias using the exogenous instrumental variable approach. Furthermore, the paper provides more detailed analysis of the impact of TBTs across five ICT product categories that are defined by the United Nations Conference on Trade and Development (UNCTAD). The results indicate that TBTs have a generally strong positive impact on the value of imports of ICT goods. While many keywords cited in TBTs notified to the WTO affect the values and volumes of imports in a positive way, certain other TBTs function as trade barriers that reduce their values and volumes.
    Keywords: Information and communications technology, non-tariff measures, technical barrier to trade, World Trade Organization, Pseudo Poisson Maximum Likelihood
    JEL: F13 F14 L15
    Date: 2021–09
  4. By: Tii N. Nchofoung (University of Dschang, Cameroon); Simplice A. Asongu (Yaoundé, Cameroon); Arsène A. Njamen Kengdo (University of Dschang, Cameroon); Elvis D. Achuo (University of Dschang, Cameroon)
    Abstract: The objectives of this paper are to verify the linear and the non-linear effects of infrastructural development on inclusive human development in Africa. The results of the system GMM estimations show a positive effect of infrastructural development on inclusive development across all the infrastructural development indexes employed, except the ICT infrastructural composite index which presents an insignificant negative effect. Besides, a non-linear effect of infrastructures on inclusive development was established across all the infrastructure indicators except for the ICT indicator. Negative thresholds for complementary policies are established for the African Infrastructure Development Index (AIDI) and the transport index while positive thresholds are apparent for the electricity index and the water and sanitation infrastructure index (WSS). Accordingly, in order to sustain the positive incidence of the AIDI and transport index on human development, complementary policies should be engaged to avoid an overall negative effect on human development when the indexes are respectively, 31.12% and 25.56%. In the same vein, the electricity index and WSSI should exceed critical levels of respectively 49.79% and 41.92%, to engender an overall positive effect on inclusive human development.
    Keywords: Infrastructure; Inclusive development: Africa
    JEL: N67 N77 C23 I00 O55
    Date: 2021–01
  5. By: Edquist, Harald
    Abstract: Based on panel data of 116 countries in 2014-2019, this paper investigates the association between mobile broadband speed and labor productivity. It finds no robust contemporaneous relationship, but there is a significant and robust effect when a one-year lag of mobile broadband speed is introduced (significant at 3.7 and 0.9 percent levels for fixed and random effects estimation, respectively). The interpretation of the results is that a 10 percent increase in mobile broadband speed in period t-1 is associated with 0.2 percent increase in labor productivity, cetris paribus.
    Date: 2021
  6. By: Diemer, Andreas; Iammarino, Simona; Perkins, Richard; Gros, Axel
    Abstract: The mining of several critical raw materials – including the so-called ‘conflict minerals’ associated with armed conflict and human rights abuses – and their combination, refining and use in many new advanced electronic products, are providing an important material infrastructure to current technological progress. Relying on text analysis of USPTO patent data between 1976 and 2017, our explorative study provides a methodological and empirical starting point for exploring the technological and geographical linkages between technological paradigms and selected critical and conflict materials (CCMs). Our descriptive analysis finds evidence of a clear association between ICT technologies and CCM intensity over time, and of a striking resource-technology divide in global ICT value chains between value creating and value extracting activities across Global North and Global South and their regions. The paperintends to emphasize the need for a more critical, spatially sensitive approach to studying resource-based technological change to expose the uneven development consequences created, sustained, or mitigated by technological progress.
    Keywords: critical and conflict materials; paradigm shift; technological demand; geography of technology; geography of resource supply
    JEL: O30 Q34 Q55 R11
    Date: 2021–09–01
  7. By: Yang, Seungmi; Kwon, Youngsun
    Abstract: This paper aims to examine how two recent external shocks-the Covid-19 pandemic and 5G services-are transforming online shopping submarkets in Korea by estimating the effects of these two shocks on mobile shopping sales and conversion, which refers to substitution for shopping over fixed internet (termed internet shopping). Key findings are: Covid-19 boosted sales in 14 mobile shopping submarkets and decreased sales in two submarkets; 5G services also helped sales increases in 13 submarkets, while mobile technologies altogether contributed to sales increases in 14 submarkets; and mobile shopping conversions in online shopping submarkets have been driven mostly by mobile technologies, including 5G, and not by Covid-19.
    Keywords: Covid-19,5G,Mobile,Online,Shopping,Conversion
    Date: 2021
  8. By: Hélène Dernis (OECD); Laurent Moussiegt (OECD); Daisuke Nawa (OECD); Mariagrazia Squicciarini (OECD)
    Abstract: This study proposes an exploratory analysis of the characteristics of Artificial Intelligence (AI) “actors”. It focuses on entities that deploy AI-related technologies or introduce AI-related goods and services on large international markets. It builds on the OECD Science, Technology and Innovation Micro-data Lab infrastructure, and, in particular, on Intellectual Property (IP) rights data (patents and trademarks) combined with company-level data. Statistics on AI-related patents and trademarks show that AI-related activities are strongly concentrated in some countries, sectors, and actors. Development of AI technologies and/or goods and services is mainly due to start-ups or large incumbents, located in the United States, Japan, Korea, or the People’s Republic of China, and, to a lesser extent, in Europe. A majority of these actors operate in ICT-related sectors. The composition of the IP portfolio of the AI actors indicates that AI is frequently combined with a variety of sector-specific technologies, goods, or services.
    Date: 2021–09–22
  9. By: Wioleta Kucharska (Gdansk University of Technology, Gdansk, Poland)
    Abstract: Purpose: This study aims to present the overview of intellectual capital creation micro-mechanisms concerning formal and informal knowledge processes. The organizational culture, transformational leadership, and innovativeness are also included in the investigation as ascendants and consequences of the focal relation of intellectual capital and knowledge processes. Method: The empirical model was developed using the structural equation modeling (SEM) method based on a sample of 1,418 Polish knowledge workers employed in the construction, healthcare, higher education (HE), and information technology (IT) industries. Findings: The study exposes that the essence of transformational leadership innovativeness oriented is developing all intellectual capital components. To do so, leaders must support both formal and informal knowledge processes through the organizational culture of knowledge and learning. Furthermore, for best results of the knowledge transformation into intellectual capital, the learning culture must be shaped by both components: learning climate and acceptance of mistakes. Originality: This study presents the "big picture" of all intellectual capital creation micro- mechanisms linking transformational leadership with organizational innovativeness and explains the "knowledge paradox" identified by Mabey and Zhao (2017). This explanation assumes that intellectual capital components are created informally (i.e., human, and relational ones) and formally (i.e., structural ones). Therefore, for best effects, both formal and informal knowledge processes must be supported. Furthermore, this study exposes that the intensity of all explored micro-mechanisms is industry-specific. Implications: Presented findings can be directly applied to organizations to enhance innovativeness. Namely, leaders who observe that the more knowledge is formally managed in their organizations, the less effective the knowledge exchange is - should put more effort into supporting informal knowledge processes to develop human and relational intellectual capital components smoothly. Shortly, leaders need to implement an authentic learning culture, including the mistakes acceptance component, to use the full organizational potential to achieve intellectual capital growth. Intellectual capital growth is essential for innovativeness.
    Keywords: learning culture, knowledge culture, transformational leadership, innovations, intellectual capital, tacit knowledge, knowledge processes, healthcare industry, higher education, IT industry, construction industry, gender studies
    Date: 2021–09
  10. By: Simplice A. Asongu (Yaounde, Cameroon); Mouna Amari (University of Sfax, Tunisia); Anis Jarboui (University of Sfax, Tunisia); Khaireddine Mouakhar (Normandy Business School, France)
    Abstract: The study examines the dynamic interrelationships among the school enrolment rates and the rate of employment (via unemployment rates) in Nigeria. The study employed Autoregressive estimates and an unrestricted VAR approach to analyze these relationships. The study lends credence to the new-growth theory (i.e. endogenous models) that more investments in human capital, through education especially at higher levels, will allow human capital to evolve dynamically and increase long-run growth in Nigeria. This tendency engenders multiplier effects in stimulating sustainable development given that education-driven growth facilitates employment. The growth literature has been definitive on the role of human capital in achieving long-run economic growth. Therefore, investments in education have been identified as a vital channel for building human capital and achieving long run development objectives. Thus, in the nascent quest for sustainable development, this study takes the new growth theory a step higher by examining the modulating effects of educational-driven growth (i.e. via school enrolments rates) in setting the pace for employment patterns in Nigeria.
    Keywords: Inclusive, Education, Inequality, Technology, Thresholds
    Date: 2021–01
  11. By: Kreil, Agnes S.; Stauffacher, Michael
    Abstract: Demand for air travel must be reduced to align the aviation sector with international climate agreements. In line with this necessity, as well as motivated by the notion that academia has a responsibility to foster sustainable development, some academic institutions have begun reducing greenhouse gas emissions associated with their members’ air travel. Based on an online survey from early 2021, this article summarizes the practices of 35 academic institutions in Western Europe and the US that are committed to achieving such reductions. It aims to facilitate the exchange of knowledge between these institutions, thus creating a basis for informed development of future projects. A new classification of policy measures in this area is applied in this article, which reveals that policy activity focuses on low-coercive measures that encourage substituting air travel with virtual communication technology and ground-based transportation. The findings further indicate that the collection of data on air travel is an essential but challenging precursor to policy action. The discussion shows that these findings are consistent with country-specific analyses of academic institutions’ policy documents. The need for continued action to reduce emissions related to air travel, including ongoing investments in virtual communication, after the COVID-19 pandemic is emphasized. We also discuss potential acceptance of more coercive policy measures and suggest tackling the systemic effects of institutional internationalization strategies by including private travel needs engendered by international recruitment efforts in institutions’ calculations of travel emissions.
    Date: 2021–09–08
  12. By: Laha, A. K.; Verma, Shikha
    Abstract: With increasing adoption of Internet of Things (IoT) across the transportation sector, there is a growing need for developing algorithms for analyzing data streams. Due to dynamic operating environment conditions in the transportation domain, the nature of the data streams frequently change and static predictive models are often not successful when dealing with, non-stationary data streams. Further, labelled data is often unavailable or is costly to acquire in real time. Thus, effective algorithms for such problems would aim to maximize accuracy while minimizing the labelled data requirements. In this paper, we propose a new algorithm namely, the Optimal Transport based Drift Detection (OTDD) algorithm, that aims to address the accuracy-labeling requirement trade-off. Experiments on artificial and real-life data sets from the transportation domain demonstrate that the OTDD algorithm performs better than some of the widely used competing algorithms in addressing the accuracy-labeling requirement trade-off.
    Date: 2021–09–09

This nep-ict issue is ©2021 by Marek Giebel. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.