nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2023‒01‒30
ten papers chosen by
Marek Giebel
Universität Dortmund

  1. Promoting Environmental Sustainability in Africa: Evidence from Governance Synergy By Awa Traoré; Cheikh T. Ndour; Simplice A. Asongu
  2. The relation between digitalization and regional development in Romania By Antonescu, Daniela
  3. Investment Tax Credits and the Response of Firms By Lerche, Adrian
  4. Managing paradoxes in bi‐modal information technology functions: A multi‐case study By Toutaoui, Jonas; Benlian, Alexander; Hess, Thomas
  5. Digital Tasks and ICT Capital: Methodologies and Data By Lorenz Gschwent; Dario Guarascio; Stefan Jestl; Alireza Sabouniha; Roman Stöllinger
  6. Effects of an Online Self-Assessment Tool on Teachers’ Digital Competencies By Giovanni Abbiati; Davide Azzolini; Anja Balanskat; Katja Engelhart; Daniela Piazzalunga; Enrico Rettore; Patricia Wastiau
  7. The Competitiveness of Value Chains for the Telecommunications Equipment Industry: Analysis and Policy Implications By Kim, Jong Ki; Kyung, Heekwon; Shim, Woo Jung
  9. The relationship between social innovation and digital economy and society By Szabolcs Nagy; Mariann Veresne Somosi
  10. A New Emerging U.S. Trade and Technology Policy? By Atkinson, Robert D.

  1. By: Awa Traoré (University Cheikh Anta Diop, Dakar, Senegal); Cheikh T. Ndour (University Cheikh Anta Diop, Dakar, Senegal); Simplice A. Asongu (Yaoundé, Cameroon)
    Abstract: The present study complements the extant literature by assessing how environmental sustainability can be promoted by means of policies that entail the simultaneous implementation of six governance dynamics, notably, political governance (political stability/ no violence and ‘voice & accountability’), economic governance (government effectiveness and regulatory quality) and institutional governance (corruption-control and the rule of law). The study focuses on 44 African countries for the period 2000 to 2020 and the empirical evidence is based on the generalized method of moments (GMM). The findings show that while the individual governance indicators positively influence carbon dioxide (CO2) emissions, the combined or composite governance indicator has a negative effect on CO2 emissions. Moreover, urbanization, economic growth, trade and foreign investment promote CO2 emissions while information and communication technology in terms of mobile phone subscriptions and internet penetration have the opposite effect. Policy implications are discussed.
    Keywords: CO2 emissions, ICT, governance, urbanization, GMM model
    JEL: C33 C52
    Date: 2023–01
  2. By: Antonescu, Daniela
    Abstract: Digitalization is an essential element for the development of today’s society, in the context of actual geo-political challenges. Moreover, the COVID-19 pandemic has accelerated the process of digitalization, offering new perspectives on sustainable and inclusive development. From the point of view of the regional approach, digitalization can have an important impact on the level of territorial development and on the reduction of economic and social inequalities. This paper proposes to identify the relationship between a series of indicators specific to digitization and regional GDP, with the help of panel models. The objective of the research is to estimate the relationship between GDP and two indicators specific to digitalization: online commerce and broadband internet infrastructure, the level of the eight development regions in Romania. Dependency modelling, based on econometric equations, offers the possibility of highlighting the way in which the two indicators of the digital economy contribute to the growth of GDP per capita. This analysis aims to illustrate the fact that broadband technologies and the increase in the number of people using the Internet for commercial purposes can have a positive impact on the growth of the regional economy. The results of the analysis highlighted the direct relationship of the indicators between the three variables related to the digitalization process at the level of Romania’s regions and the strong influence of broadband internet and online trade on GDP per capita, proving that any growth among independent variables will lead to an increase amongst the dependent variables.
    Keywords: Digitalization, GDP, regional inequalities, Panel model, OLS model.
    JEL: O1 O3 O31 O32 O33 R10 R12 R15 R5
    Date: 2022–12–27
  3. By: Lerche, Adrian (Institute for Employment Research (IAB), Nuremberg, Germany ; LMU Munich ; IZA)
    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." (Author's abstract, IAB-Doku) ((en))
    Keywords: IAB-Open-Access-Publikation
    JEL: H25 H32 J23 R11 D22
    Date: 2022–12–27
  4. By: Toutaoui, Jonas; Benlian, Alexander; Hess, Thomas
    Abstract: Leveraging digital technologies is a major concern for companies and has significant implications for their information technology (IT) functions. In many cases, a bi‐modal IT function is established: a ‘traditional IT’ mode focusing on the stability and exploitation of existing IT resources and an ‘agile IT’ mode focusing on exploring new technologies. Whereas previous research has predominantly taken an organisational‐level view of bi‐modal IT by treating it as a single, aggregated entity, we provide a micro‐foundations perspective on the intricate and paradoxical interrelationships between the two IT modes. Based on a multi‐case study with companies from different industries and of varying sizes, we uncover nine core tensions between traditional IT and agile IT as manifestations of five underlying paradoxes. We also identify corresponding management practices to address these tensions and paradoxes. Our study contributes to Information Systems research by disaggregating bi‐modal IT and capturing the tensions and their underlying paradoxes at the organisational and individual levels that bi‐modal IT entails. By highlighting the intricate interdependencies between the traditional and agile IT modes, we show that bi‐modal IT can be messier and more contested than previously anticipated. For practitioners, our study offers an overview of paradoxes and tensions that may arise in bi‐modal IT settings and provides suggestions on how to manage them.
    Date: 2022
  5. By: Lorenz Gschwent; Dario Guarascio; Stefan Jestl (The Vienna Institute for International Economic Studies, wiiw); Alireza Sabouniha; Roman Stöllinger (The Vienna Institute for International Economic Studies, wiiw)
    Abstract: This report describes the data and documents the data collection and adjustment procedures for a project called ‘Comparative Advantage in the Digital Era’. This project uses granular information on the tasks being performed by workers in different occupations on the one hand and different asset types of capital on the other hand to pin down comparative advantages in digital tasks and ICT capital. Given the nature of the project, the data work focuses on the adjustment of the underlying occupation and industry-specific employment data and the asset-type and industry-specific capital stock data to match the figures in the Intern-Country Input Output tables. The latter are a key ingredient for the calculation of endowment based comparative advantages. Finally, it explains the Survey on Italian Occupations (Indagine Campionaria sulle Professioni, ICP), a unique database on the characteristics of occupations in the Italian and its US American counterpart, the O*NET database. The data work documented in this report builds the foundation for the further work of the aforementioned project.
    Keywords: Employment, capital stocks, digital tasks, ICT capital
    JEL: C80
    Date: 2023–01
  6. By: Giovanni Abbiati; Davide Azzolini; Anja Balanskat; Katja Engelhart; Daniela Piazzalunga; Enrico Rettore; Patricia Wastiau
    Abstract: We evaluate the effects of an online self-assessment tool on teachers’ competencies and beliefs about ICT in education. The causal impact of the tool is evaluated through a randomized encouragement design, involving 7, 391 lower secondary teachers across 11 European countries. Short-run impact estimates show that the use of the tool led teachers to critically revise their technology-enhanced teaching competencies (-0.14 standard deviations) and their beliefs about ICT in education (-0.35 s.d.), while there is no impact on their probability of taking specific training. The effects are concentrated among teachers in the top-end tail of the distribution of pre-treatment outcomes. We provide suggestive evidence that the feedback score provided by the tool triggered such results by providing a negative information shock.
    Keywords: ICT, technology-enhanced teaching, self-assessed competencies, experimental design, teaching practices
    JEL: I21 C93
    Date: 2023–01
  7. By: Kim, Jong Ki (Korea Institute for Industrial Economics and Trade); Kyung, Heekwon (Korea Institute for Industrial Economics and Trade); Shim, Woo Jung (Korea Institute for Industrial Economics and Trade)
    Abstract: With the COVID-19 pandemic accelerating digital transformation, demand for 5G networks is soaring. 5G networks are an indispensable part of infrastructure supporting immersive content, self-driving technologies, the Internet of Things (IOT), remote services, and smart manufacturing. Telecommunications equipment is at the center of reaching this next generation of mobile network technology. Given the intense demand for highly advanced technologies, the global 5G network market is already dominated by leading Chinese and European companies, which are raising steep barriers to market latecomers. Despite the fact that Korea was the first in the world to roll out commercially viable 5G networks and services, Korean companies have struggled to expand their share of the global 5G equipment market. The Korean telecommunications equipment industry is currently led by a few large corporations and their long-standing smaller partners. A lack of extensive growth-oriented infrastructure, core technologies, and competitive products, along with the volatility of materials and parts supplies limits the Korean telecommunication industry’s prospects for growth relative to its counterparts in other developed countries. In this report, we examine the structure and characteristics of value chains for the Korean telecommunications equipment industry, assessing its competitiveness at different stages of the value chain against its global competitors, and identify the implications for future growth policy carried by our findings.
    Keywords: 5G Networks; Mobile Network Technology; Korean Telecommunication Industry
    JEL: D46 L63
    Date: 2022–06–27
  8. By: Hua, Tan Kian; Nabeel, Rao
    Abstract: The intensified global Knowledge Economy is frequently reshaped under the dynamics of continuous disruptive technological advancements. Robotic process automation, artificial intelligence, machine learning, the internet of things, and big data analytics are only some of the hot topics on the agendas of organizational decision-makers in strategic development. The quest for knowledge management can no longer be separated from continuous tech transformations and innovations: knowledge mining, application, dissemination, and protection activities have grown connected to digital technologies. The present study offers a detailed insight into the knowledge management literature focused on digital transformations. As such, the relevant timeframe for the analysis starts from 2006 to 2022, as indicated by our findings. Working within a sample of 159 documents, the authors enable VOSviewer software 1.6.17 and R coding language features to identify the main research trends and updates for the selected topic. The endeavors cover countries' contribution analysis, review of academic interest evolution across short to medium timeframes (overlay analysis), as well as identification of potential future research directions which would enrich academic knowledge of the selected segment of research. The main contribution of the present bibliometric analysis research is the visual mapping of knowledge management literature in the context of the digital transformation.
    Date: 2022–10–20
  9. By: Szabolcs Nagy; Mariann Veresne Somosi
    Abstract: The information age is also an era of escalating social problems. The digital transformation of society and the economy is already underway in all countries, although the progress in this transformation can vary widely. There are more social innovation projects addressing global and local social problems in some countries than in others. This suggests that different levels of digital transformation might influence the social innovation potential. Using the International Digital Economy and Society Index and the Social Innovation Index, this study investigates how digital transformation of the economy and society affects the capacity for social innovation. A dataset of 29 countries was analysed using both simple and multiple linear regressions and Pearsons correlation. Based on the research findings, it can be concluded that the digital transformation of the economy and society has a significant positive impact on the capacity for social innovation. It was also found that the integration of digital technology plays a critical role in digital transformation. Therefore, the progress in digital transformation is beneficial to social innovation capacity. In line with the research findings, this study outlines the implications and possible directions for policy.
    Date: 2022–12
  10. By: Atkinson, Robert D. (Information Technology and Innovation Foundation)
    Abstract: Since the end of WWII, the United States was the leading force globally for free trade. Since the early 1980s, it was also the leading force for laissezfaire economics, promoting the “Washington Consensus” of limited government and free markets, both at home and abroad. That era has ended. The United States now sees itself as in intense competition for high valueadded production with other nations, especially China. And many in both parties now see some kind of national competitiveness strategy, including policies to support advanced industries, as a critical component of U.S. economic policy. This change is not temporary—the result of a particular president in the White House—rather, it is long-term and structural. As such, other nations will need to recalibrate their thinking about U.S. trade and economic policy.
    Keywords: U.S. Economic Policy; Washington Consensus; Free markets; Free trade
    JEL: F13 O24 O25
    Date: 2022–06–27

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