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

  1. German Financial State Aid during COVID-19 Pandemic: Higher Impact among Digitalized Self-Employed By Irene Bertschek; Joern Block; Alexander S. Kritikos; Caroline Stiel
  2. Evaluating the Effects of ICT Core Elements on CO2 Emissions: Recent Evidence from OECD Countries By Briglauer, Wolfgang; Köppl-Turyna, Monika; Schwarzbauer, Wolfgang
  3. Effective and scalable programs to facilitate labor market transitions for women in technology By Susan Athey; Emil Palikot
  4. Investment Tax Credits and the Response of Firms By Lerche, Adrian
  5. Internet for All By Saba Anwar; Unbreen Qayyum
  6. High Speed Internet and the Widening Gender Gap in Adolescent Mental Health: Evidence from Hospital Records By Arenas-Arroyo, Esther; Fernández-Kranz, Daniel; Nollenberger, Natalia
  7. Purchasing Decisions in the New Normal Period: Implementation of Digital Marketing, Brand Awareness, and Viral Marketing at Shopee E-Commerce on the Use of SPayLater By Mardiana, Amira Putri; Haryanto, Budhi
  8. The role of mobile network operators in next-generation public safety services By Savunen, Tapio; Hämmäinen, Heikki; Kilkki, Kalevi; Kekolahti, Pekka
  10. Byzantine Failure against Colluding Attacks in Cloud Data By , shafiq
  11. The Role of Technology and Mobile Governance in Today’s Society: Analyzing How Apps Are Used in Governance By Clayton, Bernard
  12. Digital Divide Decoded: Can E-Commerce and Remote Workforce Enhance Enterprise Resilience in the COVID-19 Era? By Vo, Long Hai; Le, Thai-Ha; Park, Donghyun
  13. Social Informatics Turns under Geo-Political Economic Dynamics: The Battle for Technological Hegemony and Soft Power in the 5G Era By Kawamata, Takahiro
  14. Lack of Trust and its Influence on the Installation of the COVID-19 Contact-Confirming Application in Japan By Kamplean, Artima; Mitomo, Hitoshi; Otsuka, Tokio

  1. By: Irene Bertschek; Joern Block; Alexander S. Kritikos; Caroline Stiel
    Abstract: In response to strong revenue and income losses that a large share of the self-employed faced during the COVID-19 pandemic, the German federal government introduced a €50bn emergency aid program. Based on real-time online-survey data comprising more than 20,000 observations, we analyze the impact of this program on the subjective survival probability. In particular, we investigate how the digitalization level of the self-employed influences the program’s effectiveness. Employing propensity score matching, we find that the emergency aid program had only moderately positive effects on the confidence of the self-employed to survive the crisis. However, the self-employed whose businesses were highly digitalized, benefitted much more from the state aid compared to those whose businesses were less digitalized. This holds true only for those self-employed in advanced digitalization stages, who started the digitalization processes already before the crisis. Moreover, taking a regional perspective, we find suggestive evidence that the quality of the regional broadband infrastructure matters in the sense that it increases the effectiveness of the emergency aid program. Our findings show the interplay between governmental support programs, the digitalization levels of entrepreneurs, and the regional digital infrastructure. The study helps public policy to increase the impact of crisis-related policy instruments.
    Keywords: Self-employment, emergency aid, treatment effects, COVID-19, entrepreneurship, digitalization, resilience
    JEL: C14 H43 L25 L26 J68 O33
    Date: 2022
  2. By: Briglauer, Wolfgang; Köppl-Turyna, Monika; Schwarzbauer, Wolfgang
    Abstract: Digitization related services and applications are based on the information and comm unications technology (ICT) ecosystem and encompass almost all areas of society and economic sectors nowadays and exert numerous opposing effects in regard to electricity c onsumption and corresponding CO2 emissions. Our analysis aims to inform policy decis ion makers about the actual climate relevance of the ICT ecosystem by providing sound empirical evidence on the net effect of various ICT core elements based on recent OECD panel data utilizing panel econometric estimation methods that include instrumental variables. When compared with previous empirical contributions, we utilize more comprehensive measures of the ICT ecosystem and explicitly address potential endogeneity co ncerns. In line with all the previous studies using data from developed countries, w e found that the CO2 reducing positive indirect effects outweigh the negative, in other words, CO2 increasing direct and indirect effects on average. Specifically, we found that, in addition to the lowering effect related to the use of basic broadband conn ections, there was another lowering effect albeit smaller related to new fiber based broadband connections. We found that according to our conservative estimates, basic, and fiber based broadband connections induced a substantial reduction of CO2 emissions in the average OECD country amounting to at least 67 Mt CO2 during our period of analysis (2002 2019). This roughly corresponded to the total annual CO2 emissions of an OECD country with the size of Greece. In contrast, other elements of the ICT ecosystem , such as mobile broadband networks or electronic end user devices, showed no significant net impact on CO2 emissions. This result points to potentially opposing and, by, and large, offsetting effects at an aggregate level and/or to the dominant role of th e other macroeconomic, demographic, and institutional control variables in exp laining total CO2 emissions at the country year level. We conclude that undifferentiated climate policy measures imposed on the ICT ecosystem would not do justice to the identif ied heterogeneity, with numerous in part opposing effects, and likely would be accompanied by inefficiencies and market distortions. In view of this heterogeneity, regulatory interventions, if any, should be targeted at reducing particularly resource inten sive digital services with evidentially high CO2 emissions (such as online vid eo streaming or bitcoin mining). Moreover, our findings based on data of developed countries provides evidence for the "pollution haven hypothesis" suggesting that environmentall y intense production of ICT network equipment and end user devices, the extrac tion of rare earth elements and disposal of ICT waste is allocated to some major non OECD member states such as India, China and some East Asian countries (other than OECD member states Japan and South Korea). Whereas in OECD countries the value added from ICT services has been rising, the value added from ICT manufacturing, with particularly high CO2 emissions, has been falling. Although the ICT sector as a whole is growing world wide, the growth of energy intense ICT production and manufacturing differs su bstantially between regions and countries.
    Keywords: ICT,digitization,CO2 emissions,electricity consumption,OECD data,panel econometrics
    JEL: L52 L96 Q40 Q55
    Date: 2022
  3. By: Susan Athey; Emil Palikot
    Abstract: We describe the design, implementation, and evaluation of a low-cost and scalable program that supports women in Poland in transitioning into jobs in the information technology sector. This program, called "Challenges," helps participants develop portfolios that demonstrate capability for relevant jobs. We conduct two independent evaluations, one focusing on the Challenges program and another on a one-to-one mentoring program. We exploit the fact that both programs were oversubscribed to randomize access among applicants and measure the impact of the programs on the probability of finding a job in the technology sector within four months. We estimate that the mentoring program increases the probability of finding a job in technology by 13 percentage points and the Challenges program by 9 percentage points. The benefit of Challenges can be compared to the program cost of approximately $15 per person. Next, we show that treatment effects vary with individual characteristics, and we estimate gains from optimally assigning applicants across the two programs. We find that optimal assignment increases participants' average probability of finding a job in technology by approximately 13% compared to random assignment. Finally, we analyze the counterfactual impact of expanding the available spots in Challenges from 15% to 50% of applicants, while assigning applicants to programs using the proposed targeting rule. Considering the entire applicant pool as the baseline, this generates a 30% increase in technology sector jobs.
    Date: 2022–11
  4. By: Lerche, Adrian (LMU Munich)
    Abstract: This paper estimates the direct effects of investment tax credits on firms' production behavior and the additional indirect effects arising from agglomeration economies. Exploiting a change in tax credit rates by firm size in Germany, I find that manufacturing firms increase capital and employment, with labor demand in information and communication technology-intensive industries shifting towards college-educated workers. Using geolocation data, I show that agglomeration benefits lead to a sizable further firm production expansion with these benefits materializing within distances of 5 kilometers. Worker flows from the service sector and from non-employment, rather than between manufacturing firms, explain the employment effects.
    Keywords: investment tax incentives, capital, labor demand, agglomeration
    JEL: D22 H25 H32 J23 R11
    Date: 2022–10
  5. By: Saba Anwar (Pakistan Institute of Development Economics, Islamabad); Unbreen Qayyum (Pakistan Institute of Development Economics, Islamabad)
    Abstract: The pandemic COVID 19 has fast-tracked the demand for digital technologies especially the internet requirements by five years. Internet is the lifeline for startups; distant learning is a new paradigm shift and perhaps the future of innovative learning for all ages which in turn will enhance productivity.
    Keywords: Internet,
    Date: 2021
  6. By: Arenas-Arroyo, Esther (Vienna University of Economics and Business); Fernández-Kranz, Daniel (IE Business School, Madrid); Nollenberger, Natalia (IE University)
    Abstract: Increases in mental health problems among adolescents have been concurrent with increased use of digital media, with bigger changes among girls after the mid-2010s. This study exploits exogenous variation in the deployment of optic fiber across Spanish provinces between 2007 and 2019 to analyze the effect of access to high-speed Internet (HSI) on hospital discharge diagnoses of behavioral and mental health cases among adolescents. We find a positive and significant impact on girls but not on boys. Exploring the mechanism behind these effects, we show that HSI increases addictive Internet use and significantly decreases time spent sleeping, doing homework, and socializing with family and friends. Girls again power all these effects. We find no evidence of an increase in online bullying. Finally, we show that fiber expansion harms the quality of the relationship between fathers and daughters, especially when that relationship suffers from a previous conflict. Our results help explain the observed widening gender gap in mental health among adolescents and are robust to various sensitivity tests.
    Keywords: high-speed internet, adolescents, mental health
    JEL: J13 J16 I10 I12 I18 H31 L86
    Date: 2022–11
  7. By: Mardiana, Amira Putri; Haryanto, Budhi
    Abstract: Indonesia has one of the highest levels of e-commerce in the world, with around 97% of internet users looking for products and services to buy online. Visits to online retailers are made by him 92% of all Internet users. 94% of internet users alsо pay for prоducts and services оnline. With 94.7 million monthly visits, Shopee is the most popular online shopping destination for Indonesians. This study's goal was to assess the effects of partially or simultaneously the application of digital marketing, brand awareness and Viral Marketing in e-commerce shopee оn the use оf SPayLatter оn purchasing decisiоns during the new normal period after the COVID-19 pandemic. The sample of this research used stratified random sampling method. The sample of this research is 100 shoppe consumer respondents. In this study, the data was analyzed using multiple regressiоn with the variant-based SEM methоd, which was assisted by SmartPLS software. Data collection using Google Forms survey. The study found that the use of digital marketing, brand awareness, and viral marketing has a partial and simultaneous positive effect on purchasing decisions following the COVID-19 pandemic, but has a weak effect on purchasing decisions.
    Date: 2022–09–10
  8. By: Savunen, Tapio; Hämmäinen, Heikki; Kilkki, Kalevi; Kekolahti, Pekka
    Abstract: Field of research - This research is in the field of public safety communications in mobile broadband 4G/5G networks. The focus is on mobile network operators and their business opportunities in the public safety market. Purpose - The purpose of this research is to provide a review of ongoing public safety mobile broadband projects in which mobile operators play a key role. In addition, a business model analysis is presented to determine the role of mobile operators in these projects. A comparison of the two key business models is also included to reveal their general characteristics. Methods and data - The research used a qualitative method, an inductive case study. This method was used to draw general conclusions from a small number of case studies based on ongoing public safety mobile broadband projects. The Casadesus- Masanell and Ricart framework and the business model canvas were used to analyse and compare the two key business models discussed. Data were collected from a variety of sources, including company reports, press releases, international events and conferences, and selected interviews with managers in charge. Findings - The results show that mobile operators have new business opportunities in the public safety market. Their existing mobile networks can be used for public safety services with certain enhancements. Within existing projects, mobile operators have different business models. The two analysed models are network sharing and the one-stop shop model. These models require different resources and offer different business opportunities for mobile operators. Procurement authorities responsible for selecting business models are encouraged to pay attention to the choice of model based on, for example, strategic objectives. Value - Very little research has been done on the business opportunities of mobile operators in the public safety market. This research brings new knowledge to the area and enables further research. Procurement authorities can use the results when deciding on the business model. Mobile operators can benefit from these results by better understanding their own roles in public safety projects and when assessing the business opportunities of a particular project.
    Keywords: mobile network operator,public safety,business model,4G/5G,mobile broadband
    Date: 2022
  9. By: Arifin, Maulana Wafa Tajul
    Abstract: In ancient times cellphones were very simple, cellphones in ancient times were usually used only for telephones, sending messages, and playing on the radio. But nowadays with mobile phones, we can do a lot of things. For example: make Vidio calls remotely, access the internet, access social media, and so on. In ancient times, mobile phone brands were just that-that's all like Nokia, Sonny Ericsson, Evercoss, and others. But now the brands of mobile phones are very diverse. Even now there are android, blackberry, and IOS. The mobile phone brand that is viewed with a high caste at this time is the iPhone. Nowadays, often people who use the iPhone will be considered rich people, have a glamorous life, and are viewed as having a more high caste. Even though its use is the same as other mobile phone brands. This event gave rise to social stratification. The purpose of this study is to find out why the iPhone is the benchmark of social class among adolescents and to find out what are the causes of social stratification among adolescents. This research method is a qualitative research method. In addition to observations and interviews, this study also conducts data collection and literature studies, literature studies, which are methods used to trace historical data or review literature and reports related to research titles. The novelty of this study is the novelty methodology. In research, it was found that the iPhone is currently used for a prestige contest. Whoever wears the iPhone will be considered cooler in their life and whoever wears the iPhone can join the circle of their friendship.
    Date: 2022–06–27
  10. By: , shafiq
    Abstract: Cloud computing is the next stage in evolution of the internet, which provides large amounts of computing and storage to customers provisioned as a service over the internet. However, cloud computing faces so many security challenges due to the possible compromise or byzantine failures. In this paper, we focus on Ensuring data storage security in cloud computing, which is an important aspect of Quality of Service (QoS). We propose an effective and flexible distribution verification protocol to address data storage security in cloud computing. In this protocol, we rely on erasure code for the availability, reliability of data and utilize token precomputation using Sobol Sequence to verify the integrity of erasure coded data rather than Pseudorandom Data in existing systems. Unlike prior works, our scheme provides more security to user data stored in cloud computing. The performance analysis shows that our scheme is more secure than existing systems against Byzantine failure, unauthorized data modification attacks, and even cloud server colluding attacks.
    Date: 2022–06–29
  11. By: Clayton, Bernard
    Abstract: In recent decades, democratic countries that are part of the globalized world have been striving to empower their citizens, and M-Governance has been viewed as a tool that will facilitate that process in a way that will be useful to them. Democracy is based on the belief that citizens should be able to access government services online at any time of the day, as well as being empowered by being able to do so. In this process, there are several pertinent issues that need to be addressed, including the privacy of citizen data and the sharing of that data across countries, as well as equal access to electronic services throughout the world. With the help of a critical discourse analysis, we explore the perception of mobile governance as a catalyst for empowering citizens in the global advancement towards electronic democracy on the basis of a critical discourse analysis. In developing countries where it is not possible for every citizen to access mobile governance, what role does mobile governance play in facilitating democracy? The deployment of m-governance could also assist the democratic process in a developing nation where each citizen's personal information is collected and used for security purposes to identify "potential extreme violence." As far as m-governance and democratic principles are concerned, they are unlikely to progress together or enable one another. It has also been suggested that democracy, or the ability to enable it, is the key to progress and stability in a country. In order to truly empower citizens, it may be necessary to consider a new concept of governance, one that utilizes ICTs and m-governance to reach every citizen in an adequate manner, without interfering with their rights to be themselves, but without violating their human rights in the interest of enabling democracy.
    Keywords: Technology and society, impact of mobile apps on society, impact of mobile technology on governance , mobile apps and governance, m-governance, e-governance
    JEL: H11 O32 O33
    Date: 2022–09–05
  12. By: Vo, Long Hai (University of Western Australia); Le, Thai-Ha (VinFuture Foundation); Park, Donghyun (Asian Development Bank)
    Abstract: We examine the adverse impact of coronavirus disease (COVID-19) on the performance of more than 12,000 firms in 32 countries along several dimensions; namely, revenue, production, and labor outcomes. We find that the majority of firms experienced permanent or temporary closures, decreased sales and working hours, reduced production capacity, and worker layoffs. However, the impact was heterogeneous across countries and industries. To explain the diverse firm performance, we identify key factors that significantly contribute to firm resilience during the COVID-19 pandemic, especially access to digital infrastructure. After controlling for firm characteristics, macroeconomic conditions, and pandemic prevalence, we found that firms that have access to digital infrastructure performed better than those that do not. The key channel is an enhanced capacity to adopt electronic commerce business models and employ a larger share of the remote workforce, which boosts resilience during the pandemic when social distancing measures are mandated.
    Keywords: organizational reform; digital infrastructure; technology transformation; working from home; labor productivity
    JEL: H12 L25 M11
    Date: 2022–08–16
  13. By: Kawamata, Takahiro
    Abstract: Currently, technological competition over 5G is turning into a struggle not only for economic hegemony but also for political hegemony related to national security, while guiding, dividing, monitoring, and controlling by "information" that appears in the network society. The aspect of is deepening. A glimpse of that step from the path dependence of the technology trajectory leads to the 2nd & 3rd generation of digital mobile technology. Having the establishment of dominant positions in the second and third generations' mobile phone market with the European standard GSM and the global standard W-CDMA, NOKIA takes Apple lead in conversion to smartphones in the transition to the fourth generation Forgiveness, in line with Google's Android OS equipped Samsung's catch-up, it was decided to lose its position in the mobile terminal market ("NOKIA shock"). The transformation to the fourth generation is different from the market competition that takes advantage of the "scale economy" backed by the dominant design of handsets seen in previous generation changes, and the development of the app market. The terminal itself has become a mere input/output device of the platform application in the competition in the "economy of scope" with the multi-functions of the service. Here, Samsung, which integrates the element technology of the terminal device, becomes a competitive factor as to how the functionality of the application can be exhibited, and Apple, Inc., which holds the app approving right from the device design and has controllability in fragmentation of the global market progressed by utilizing EMS (Electronics Manufacturing Service). On the other hand, in the Asian market, in which the development of the mobile communication backbone has progressed rapidly, emerging mobile handset manufacturers are emerging in China, which has a strong domestic market. The foremost tip was Huawei, which was trying to occupy the global market for the fifth generation. However, it came here and the war between the United States and China was cut off. It has not only been an imbalance issue of trade (balance of payments) but has spread to an international issue that extends to the issue of intellectual property rights related to national security and technology development ("Huawei Exclusion"). (...) This paper examines the industrial technology segment strategies of companies in the social acceptance of technology within a global geopolitical and economic framework, with a view to today's 5G developments, based on the technological trajectory to date.
    Date: 2022
  14. By: Kamplean, Artima; Mitomo, Hitoshi; Otsuka, Tokio
    Abstract: This study aims to investigate the influence of different types of trust on the installation of the COVID-19 Contact-Confirming Application (COCOA) in Japan with data collected from both installed and non-installed users. Despite the country's digital readiness, Japanese people hesitate to install the application for notifying contact with an infected person and it has not been widely adopted in Japan. Previous literature agrees that trust and privacy concern has been a primary issue for installing the application. The present study adopts the extended valence framework assuming that trust directly influences the user's perception of both negative and positive utility of the contact-confirming application which results in the installation. Novel Coronavirus (Covid-19) was first reported in December 2019 and World Health Organization (WHO) announce the disease as a pandemic in March 2020 (WHO, 2020). Later WHO recommended using a digital tool for controlling infectious diseases as the pandemic surges worldwide. Japan also launch a Contact Confirming Application (or COCOA) developed by the Ministry of Health, Labour and Welfare of Japan in June 2020. Despite high expectations, the application was not widely adopted. This leads to our motivation of what could be a cause of this hesitation in installing COCOA in Japan. After a literature review, we found that number of literature and reports from WHO agree that trust in government and privacy concerns play the key factor in adoption. The literature also mentioned the digital divide as one obstacle in adopting the tracing application. However, it does not seem to be an issue in Japan since the country has a high penetration rate of smartphones and ICT readiness. Because most research focuses on an intention to adopt phase, there is still a lack of empirical evidence from users in the literature regarding a contact tracing application. This study can contribute to the gap in the literature with the data from actual users in Japan. (...)
    Keywords: Contact confirming application,COVID-19,Japan,Pandemic,Privacy,Trust in Government,Trust in media
    Date: 2022

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