nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2022‒12‒05
ten papers chosen by
Marek Giebel
Universität Dortmund

  1. Mobile Internet Access and the Desire to Emigrate By Aksoy, Cevat Giray; Adema, Joop; Poutvaara, Panu
  2. Technological change and the finance wage premium By Bertay, Ata Can; Carreño, José; Huizinga, Harry; Uras, Burak; Vellekoop, Nathanael
  3. Trends in Competition among Digital Platforms for Shared Mobility: Insights from a Worldwide Census and Prospects for Research By Virginie Boutueil; Luc Nemett; Thomas Quillerier
  4. From in-person to online: the new shape of the VC industry By Alekseeva, Liudmila; Fontana, Silvia Dalla; Genc, Caroline; Ranjbar, Hedieh Rashidi
  5. The Use of Technology to Counter Frauds and Scams for the Benefit of Society: A Detailed Study By Sharma, Devashish
  6. Digital Transformation: Towards a model for competency-based governance of digital transformation for boards of directors in South Africa By Siwahla-Madiba, Nandipha Daphne; Costa, King
  7. Digitization in Finance and Accounting: Accounting treatment of ERP and RPA systems using the example of SAP S4 / HANA at credit institutions By Danzer, Stephan; Hacker, Bernd
  8. Small cities and smart retail By Jamme, Hue-Tam; Connor, Dylan
  9. Acceptance of Chinese latecomers' technological contributions in international ICT standardization — The role of origin, experience and collaboration By Schaefer, Kerstin
  10. Higher education, ICTs and inclusion: Assessing the impact of the COVID-19 pandemic By van Schalkwyk, Francois; Canares, Michael

  1. By: Aksoy, Cevat Giray; Adema, Joop; Poutvaara, Panu
    Abstract: In this paper, we present theory and global evidence on how mobile internet access affects desire and plans to emigrate. Our theory predicts that mobile internet access increases desire and plans to emigrate. Our empirical analysis combines survey data on 617,402 individuals from 2,120 subnational districts in 112 countries with data on worldwide 3G mobile internet rollout from 2008 to 2018. We show that an increase in mobile internet access increases the desire and plans to emigrate. Instrumenting 3G rollout with pre-existing 2G infrastructure suggests that the effects are causal. The effect on the desire to emigrate is particularly strong in high-income countries and for above-median-income individuals in lower-middle-income countries. In line with our theory, an important mechanism appears to be that access to the mobile internet lowers the cost of acquiring information on potential destinations. In addition to this, increased internet access reduces perceived material well-being and trust in government. Using municipal-level data from Spain, we also document that 3G rollout increased actual emigration flows.
    Date: 2022–05–30
  2. By: Bertay, Ata Can; Carreño, José; Huizinga, Harry; Uras, Burak; Vellekoop, Nathanael
    Abstract: This paper utilizes a comprehensive worker-firm panel for the Netherlands to quantify the impact of ICT capital-skill complementarity on the finance wage premium after the Global Financial Crisis. We apply additive worker and firm fixed-effect models to account for unobserved worker- and firm-heterogeneity and show that firm fixed-effects correct for a downward bias in the estimated finance wage premium. Our results indicate a sizable finance wage premium for both fixed- and full-hourly wages. The complementarity between ICT capital spending and the share of high skill workers at the firm-level reduces the full-wage premium considerably and the fixed-wage premium almost entirely.
    Keywords: finance wage premium,worker-firm panels,skill-biased technological change
    JEL: G20 J24 J31 O33
    Date: 2022
  3. By: Virginie Boutueil (LVMT - Laboratoire Ville, Mobilité, Transport - ENPC - École des Ponts ParisTech - Université Gustave Eiffel); Luc Nemett (LVMT - Laboratoire Ville, Mobilité, Transport - ENPC - École des Ponts ParisTech - Université Gustave Eiffel); Thomas Quillerier (LVMT - Laboratoire Ville, Mobilité, Transport - ENPC - École des Ponts ParisTech - Université Gustave Eiffel)
    Abstract: Mobility systems in metropolitan areas in both the Global North and the Global South have entered an era of rapid change since the early 2010s under the influence of mobile information and communication technologies (ICTs). Mobile ICT-based shared mobility platforms have been filling some of the gaps in transport supply left by historical modes of transport (i.e., private cars, public transit, and for-hire services). Shared mobility digital platforms are a subcategory of mobility applications that give individual customers direct and full access to one or several shared mobility services. Based on a worldwide systematic census, this paper documents the diversity of services provided by such platforms, then analyzes the trends in geographic distribution and competition among platforms across the world's metropolises. It proposes a new classification of shared mobility services. Since innovations in shared mobility are also taking a leading place in the Global South, future research avenues in this field are discussed in an effort to break away from the prior focus of the scientific literature on the Global North. The census brings out four original findings. First, the rise of shared mobility digital platforms is a worldwide metropolitan phenomenon transcending the traditional distinction between the Global North and the Global South. Second, emerging countries have become clusters for innovation and competition among platforms. Third, three types of shared mobility digital platforms are identified based on geographic reach (local, regional, or global). Fourth, shared mobility digital platforms providing for-hire services are the most widespread in the world.
    Date: 2021
  4. By: Alekseeva, Liudmila; Fontana, Silvia Dalla; Genc, Caroline; Ranjbar, Hedieh Rashidi
    Abstract: Geographical clustering is an essential feature of the venture capital (VC) industry as proximity helps VCs to acquire soft information about early-stage companies and to conduct post-investment activities. However, whether the VC investment model based on in-person interactions is still justified in the age of online communication technologies remains an open question. In this paper, we address this question by using an unexpected interruption in face-to-face meetings during the recent pandemic. We document that VCs respond to this change by breaking their traditional norm: they invest in more distant startups. We find that this evolution goes along with selection criteria and syndication process changes despite some persisting behaviors. Thus, our study helps to understand how VCs revisit their investment model and sheds light on the value of in-person interactions for the VC industry.
    Date: 2022–08–22
  5. By: Sharma, Devashish
    Abstract: With the advent of the digital age, humanity has gained a number of benefits, such as the internet, mobile technology, and crypto currencies. Nevertheless, this has also allowed criminal strategies to evolve and spread as a result of this development. As a result, fraud attempts have increased from analog to digital as a result of the move from analog to electronic methods. When scams and fraud are present in society, there is a reduction in the ability of the government to provide its citizens with the services they need and to support them at the same time. Fraud results in a loss of dollars which could have been invested in healthcare, education, economic development, or public safety if these dollars had not been lost to fraud. The term "Digital Fraud or Digital Scams" refers to the use of a computer or a mobile device, along with the various means of communication available on the internet, by criminals who intend to deceive or harm a company, or an individual, in order to gain financial gain through digital fraud. Organizations need to update outdated analog technology that has been repurposed for digital applications in order to remain competitive against scams and frauds. As we move into a new digital world where we live in today, companies and governments will need to take a fresh look at their authentication procedures.
    Keywords: Fraud, Internet, Authentication Procedures, Analog technology, repurpose digital application, Scam
    JEL: O1 O32 O33
    Date: 2022–10–16
  6. By: Siwahla-Madiba, Nandipha Daphne; Costa, King (Global Centre for Academic Research)
    Abstract: The requirement for directors of boards to attain competencies in relation to governance of digital transformation is evidently increasing at global level. South Africa, as a player within the global economic landscape, cannot afford to have directors who do not understand the requisite competencies required for governance of digital transformation. Whereas many organisations and boards have implemented new corporate governance codes, principles, and standards, as well as new company legislation, frameworks or models on governance of digital transformation are not yet integrated into functional board activities. This study was hinged upon an interpretivist epistemology, with a case study design used as a strategy for inquiry. Using purposive sampling approach, a total of seven participants were interviewed using a semi-structured interview guide. Ethical considerations were followed in terms of the institutional requirements and participants were requested to sign consent forms for participating in this study. Implications of participations were clearly articulated to participants and their right to discontinue participation at any time was proffered. In this study, their participation is referred to as “Participant” followed by a number, which does not reflect the order of their participation, but to provide anonymity. Data was analysed through a thematic approach, using the COSTA QDA technique on webQDA software. The study findings culminated in three main themes as follows: • There is no standard definition of competence-based models for governance of digital transformation • Governance of digital transformation is perceived as governance of information technology (IT) • There is a need for digital transformation competence at board level Discussion of the meanings attached to these themes resulted in a development of a model entitled MADIBA Model, which is an acronym for six constructs that could be used to guide establishment of a competency model for governance of digital transformation by directors of different boards. Study limitations were mainly due to the fact that only a subjective approach to the inquiry was followed, justified by the fact that the researcher sought to explore in-depth views and perspectives of boards of directors in relation to governance of digital transformation competency model. The study further recommended that there could be another study focussing on pragmatic approaches or even positivistic perspectives, to obtain generalised perspectives on the phenomenon.
    Date: 2022–11–10
  7. By: Danzer, Stephan; Hacker, Bernd
    Abstract: Technological advancement and digitization have become more and more important in recent years. This is particularly true for credit institutions. The core banking systems used for internal processes are therefore subject to increasing digital change. In many banks, outdated IT systems are still in use, which often lack the basic functionalities that are essential for innovations. In order to achieve a sufficient functionality of the information technology in the company, core banking systems are implemented, which achieve the mapping of almost all bank-specific processes. In addition, so-called software robots are used to automate standard processes with increasing frequency. Due to the lack of standard products in previous years, there is an abundance of in-house developments. While self-developed systems dominate in the European as well as North and South American markets, earlier in-house developments in the German-speaking countries have mainly been replaced by standardized core banking systems. The introduction of standard ERP systems poses a major challenge for financial institutions. Not only does the implementation effort in terms of financial resources and working time play an important role, but also the ongoing expenses for maintenance and further development. These investments not only secure and promote the ability to innovate in the age of digitization, but also create an asset in the company. The evaluation for the accounting representation is an increasing challenge due to the steadily increasing complexity of information processing technologies. Questions arise regarding the access assessment, the follow-up assessment and the handling of previous systems. In the following, accounting according to the international accounting standards for the implementation of the ERP system SAP S/4HANA in credit institutions is shown. The procedure and the results are not limited to banks, but can be applied analogously to many industries.
    Keywords: Digitization
    Date: 2021
  8. By: Jamme, Hue-Tam; Connor, Dylan
    Abstract: Internet-of-Things (IoT) innovations are reconfiguring our societies and our day-to-day lives. But how do these new technologies enter our communities, and when they do, will they complement or dislocate existing activity? This paper raises these questions with respect to a rapidly proliferating class of “smart vending technologies.” We focus on one particularly prominent case in this class: the smart pizza vending machines that are now spreading across France. Relying on an exclusive and newly constructed database, we examine the diffusion of these machines across over 30,000 French communities. We find that the quality of a community’s internet infrastructure is predictive of its adoption of smart vending technology. Contrary to our expectations, however, neither the large, dense, and most connected urban centers, nor the rural food deserts are the first adopters of these machines: instead, small but well-connected communities are at the vanguard of this technological change. We speculate that these machines are arriving in places with attractive consumer bases and internet conditions, but which lack 24/7 on-demand food options. Our findings highlight the bottom-up conditions that are giving rise to the rapid penetration of IoT technologies, which are sure to have long lasting local impacts.
    Date: 2022–08–27
  9. By: Schaefer, Kerstin
    Abstract: As technical standards are an important part of China's industrial transformation towards an innovation-driven economy, Chinese organizations have started to deploy substantial resources in recent years to take on a leading role in international ICT standardization. However, many Chinese organizations experience, similar to other latecomers to standardization, limited success when contributing to standardization processes, a phenomenon also referred to as the standardization gap. The literature on standardization to date has paid little attention to how Chinese latecomers enter and influence international standardization processes that have traditionally been shaped by organizations from industrialized countries. We therefore analyze the country-of-origin effect as well as factors such as experience and collaboration for successful contributions of Chinese organizations to standards. Using data from the Third Generation Partnership Project (3GPP) and binary logistic regression analysis, we are able to show that, in our sample, contributions from Chinese latecomers are significantly less likely to be accepted than those from more established actors from industrialized economies. Moreover, our findings indicate that experience is closely associated with success in international ICT standardization, but not moderated by national origin. Therefore, Chinese latecomers might not be able to catch up if they move at the same pace as established competitors. They need to find a way to leapfrog extensive development steps, narrow the standardization capability gap, and thus strengthen their participation and influence. One way to do so might be through strategic collaboration, as our results suggest that Chinese organizations benefit more from collaborating with organizations from more established regions than vice versa, on which we call for further research to establish the causal mechanisms.
    Keywords: Elsevier deal
    JEL: R14 J01
    Date: 2022–10–21
  10. By: van Schalkwyk, Francois (Stellenbosch University); Canares, Michael
    Abstract: As a result of the COVID-19 pandemic and government-imposed lockdowns, higher education institutions across the globe have had to change the way in which education is provided to millions of students. At the same time, concerns have been expressed that the pandemic may well deepen systemic socioeconomic vulnerabilities and societal divides, including in higher education. In this paper we examine the extant literature to better understand the relationship between the wholesale shift to online teaching and learning in the early stage of the pandemic, the reliance on digital technologies, and the outcomes of these changes of the inclusion of marginalized students in the provision of higher education. The cases of the Philippines and South Africa are selected, and show that despite (1) attempts to ameliorate the disruptions of the pandemic by bolstering access to digital devices and the internet among marginalized students, and (2) implementing remote, distance learning and teaching, the provision of digital educational technologies did not live up to their expected democratization of access and educational attainment.
    Date: 2022–08–30

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