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Telecommunications infrastructure and usage and the FDI–growth nexus: evidence from Asian-21 countries

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  • Rudra P. Pradhan
  • Mak B. Arvin
  • Mahendhiran Nair
  • Jay Mittal
  • Neville R. Norman

Abstract

This paper examines causal relationships between telecommunications infrastructure and usage (TEL), foreign direct investment (FDI), and economic growth in the Asian-21 countries for the period 1965–2012. TEL is defined in terms of the prevalence of telephone main lines, mobile phones, internet servers and users, as well as the extent of fixed broadband. These measures are considered both individually and collectively in the form of a composite index of TEL. We report results on long-run relationships between TEL, FDI, and economic growth. We also use a panel vector auto-regression model to reveal the nature of Granger causality among the three variables. Results from these causal relationships provide important policy implications to the Asian-21 countries.

Suggested Citation

  • Rudra P. Pradhan & Mak B. Arvin & Mahendhiran Nair & Jay Mittal & Neville R. Norman, 2017. "Telecommunications infrastructure and usage and the FDI–growth nexus: evidence from Asian-21 countries," Information Technology for Development, Taylor & Francis Journals, vol. 23(2), pages 235-260, April.
  • Handle: RePEc:taf:titdxx:v:23:y:2017:i:2:p:235-260
    DOI: 10.1080/02681102.2016.1217822
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    Citations

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    Cited by:

    1. Shi, Zheng, 2023. "The impact of regional ICT development on job quality of the employee in China," Telecommunications Policy, Elsevier, vol. 47(6).
    2. Bessan Ayédoun, Eudoxie & Ayédoun, Christian, 2020. "Développement des Infrastructures de Télécommunication et Croissance Economique dans les Pays de l’UEMOA: une Analyse de la Causalité sur Données de Panel à partir d’un VECM [Telecommunication Infr," MPRA Paper 104459, University Library of Munich, Germany, revised 01 Feb 2021.
    3. Roberto Gallardo & Brian Whitacre & Indraneel Kumar & Sreedhar Upendram, 2021. "Broadband metrics and job productivity: a look at county-level data," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(1), pages 161-184, February.
    4. Rudra P. Pradhan & Mak B. Arvin & John H. Hall & Sara E. Bennett, 2018. "Mobile telephony, economic growth, financial development, foreign direct investment, and imports of ICT goods: the case of the G-20 countries," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 45(2), pages 279-310, June.
    5. Pradhan, Rudra P. & Arvin, Mak B. & Nair, Mahendhiran & Bennett, Sara E. & Bahmani, Sahar, 2019. "Short-term and long-term dynamics of venture capital and economic growth in a digital economy: A study of European countries," Technology in Society, Elsevier, vol. 57(C), pages 125-134.

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