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Telecommunications and economic growth: a panel data approach

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Author Info
Anusua Datta
Sumit Agarwal

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Abstract

Telecommunication investment is increasingly identified as one with a strong potential to improve economic productivity and growth. The objective of this study is to investigate the long run relationship between telecommunications infrastructure and economic growth, using data from 22 OECD countries. A dynamic panel data method is used for estimation, which corrects for omitted variables bias of single equation cross-section regression. The 'fixed-effects' specification accounts for country specific differences in aggregate production functions. The results show a significant and positive correlation between telecommunications infrastructure and growth, after controlling for a number of other factors.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Applied Economics.

Volume (Year): 36 (2004)
Issue (Month): 15 (August)
Pages: 1649-1654
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Handle: RePEc:taf:applec:v:36:y:2004:i:15:p:1649-1654

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  1. Aschauer, David Alan, 1989. "Is public expenditure productive?," Journal of Monetary Economics, Elsevier, vol. 23(2), pages 177-200, March. [Downloadable!] (restricted)
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  2. J. Bradford De Long & Lawrence H. Summers, 1990. "Equipment Investment and Economic Growth," NBER Working Papers 3515, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  3. Lars-Hendrik Roller & Leonard Waverman, 2001. "Telecommunications Infrastructure and Economic Development: A Simultaneous Approach," American Economic Review, American Economic Association, vol. 91(4), pages 909-923, September. [Downloadable!] (restricted)
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  4. Barro, Robert J, 1991. "Economic Growth in a Cross Section of Countries," The Quarterly Journal of Economics, MIT Press, vol. 106(2), pages 407-43, May. [Downloadable!] (restricted)
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  5. Levine, Ross & Renelt, David, 1991. "A sensitivity analysis of cross-country growth regressions," Policy Research Working Paper Series 609, The World Bank. [Downloadable!]
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  1. Lei Ding & Kingsley Haynes & Yanchun Liu, 2008. "Telecommunications infrastructure and regional income convergence in China: panel data approaches," The Annals of Regional Science, Springer, vol. 42(4), pages 843-861, December. [Downloadable!] (restricted)
  2. Sang H. Lee & John Levendis & Luis Gutierrez, 2009. "Telecommunications And Economic Growth: An Empirical Analysis Of Sub-Saharan Africa," DOCUMENTOS DE TRABAJO 005512, UNIVERSIDAD DEL ROSARIO - FACULTAD DE ECONOMÍA. [Downloadable!]
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