nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2023‒06‒12
four papers chosen by
Marek Giebel
Universität Dortmund

  1. Local infrastructure, resilience capacity and poverty in rural Southeast Asia By Tim Hartwig; Trung Thanh Nguyen
  2. IT Shields: Technology Adoption and Economic Resilience during the COVID-19 Pandemic By Myrto Oikonomou; Nicola Pierri; Yannick Timmer
  3. Value creation and appropriation of software vendors: A digital innovation model for cloud computing By Dirk Schneckenberg; Jose Benitez; Christoph Klos; Vivek Velamuri; Patrick Spieth
  4. Internet use and agricultural productivity: Evidence from rural Vietnam By Thanh-Tung Nguyen; Trung Thanh Nguyen; Ulrike Grote

  1. By: Tim Hartwig; Trung Thanh Nguyen
    Abstract: We examine the association between infrastructure and a household’s resilience capacity against shocks and the impacts of a household’s resilience capacity on household consumption and poverty. We use panel data (collected in 2010, 2013, and 2016) from 1, 698 households in Thailand and 1, 701 households in Vietnam and employ an instrumental variable approach. We find that transportation and information and communication technology infrastructure help improve households’ absorptive capacity in coping with shocks. Furthermore, this capacity can prevent households from reducing consumption and falling into poverty. Thus, rural development policies should attend to transportation and information and communication technology infrastructure.
    Keywords: Infrastructure, Resilience capacity, Poverty, Instrumental variable, Thailand, Vietnam
    JEL: D01 O12 Q12
    Date: 2022–12
  2. By: Myrto Oikonomou; Nicola Pierri; Yannick Timmer
    Abstract: We study the labor market effects of information technology (IT) during the onset of the COVID-19 pandemic, using data on IT adoption covering almost three million establishments in the US. We find that in areas where firms had adopted more IT before the pandemic, the unemployment rate rose less in response to social distancing. IT shields all individuals, regardless of gender and race, except those with the lowest educational attainment. Instrumental variable estimates–leveraging historical routine employment share as a booster of IT adoption– confirm IT had a causal impact on fostering labor markets’ resilience. Additional evidence suggests this shielding effect is due to the easiness of working-from-home and to stronger creation of digital jobs in high IT areas.
    Keywords: Unemployment Rate; Technology; IT Adoption; Inequality; Skill-Biased Technical Change
    JEL: E24 O33
    Date: 2023–02–03
  3. By: Dirk Schneckenberg (ESC [Rennes] - ESC Rennes School of Business); Jose Benitez (ESC [Rennes] - ESC Rennes School of Business); Christoph Klos (University of Kassel); Vivek Velamuri (Leipzig Graduate School of Management); Patrick Spieth (University of Kassel)
    Abstract: Do software vendors propose, create, and capture value in the era of digital transformation? Drawn on the literature of business models, digital innovation, and firms' capabilities, we examine this cutting-edge research question. We conducted a multiple case research of 10 software vendors operating in Germany and Austria. The thematic analysis yields a conceptual model that explains whether and how software vendors leverage cloud computing-enabled innovation for the digital boost, which is this study's primary contribution to information systems research. Software vendors use a complementary portfolio of information technology and organizational capabilities to innovate in their value proposition, creation, and capture.
    Keywords: Digital innovation, Software vendors, Cloud computing, Business model, Digital capabilities, Organizational capabilities
    Date: 2021–06
  4. By: Thanh-Tung Nguyen; Trung Thanh Nguyen; Ulrike Grote
    Abstract: The use of the internet is growing rapidly and has become an engine for economic development. However, few studies have examined the impact of internet use on agricultural production, and the results are not yet conclusive. Employing a dataset of more than 2, 000 observations in rural Vietnam, our study analyses the impact of internet use on agricultural productivity using the heteroskedasticity-based instrument approach suggested by Lewbel (2012) and examines the heterogeneity and distribution of the impact using quantile regressions. Our results show that internet use has significant and positive effects on agricultural productivity. However, these effects are heterogeneous across population groups. The positive effects of internet use are stronger for households with a lower level of education, with a young and female head, and from ethnic minorities. The benefits are also found to be skewed towards the group of farmers at the bottom of the productivity distribution. Therefore, we propose facilitating the diffusion of the internet, since it not only boosts agricultural productivity, but also reduces productivity inequality. In addition, we recommend promoting rural education, supporting local markets, investing more in irrigation systems, and facilitating farm mechanisation.
    Keywords: Rural household, Instrumental variable, Quantile regression, Vietnam
    JEL: Q11 D63 O30
    Date: 2023–03

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