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A theoretical framework to evaluate ICT disparities and digital divides: Challenges and implications for e-government development

Author

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  • Lněnička Martin

    (Science and Research Centre, Faculty of Economics and Administration, University of Pardubice, Studentska 84, 532 10 Pardubice, Czech Republic)

  • Máchová Renáta

    (Institute of System Engineering and Informatics, Faculty of Economics and Administration, University of Pardubice, Studentská 84, 532 10 Pardubice, Czech Republic)

Abstract

Understanding and using ICT is critical for increasing effectiveness of the public sector, improving access to public services, enhancing transparency and engagement of various stakeholders in public decision-making processes. At the same time, utilization of new emerging technologies such as cloud computing, big data analytics, open data, social media, or Internet of Things has become more commonplace in recent years. This study aims to understand what determines ICT disparities and digital divides in the context of new technologies and digital world shifts. For this purpose, a theoretical framework of ICT-related indicators elucidating differences between the traditional and new approach is proposed. These ICT indicators were identified through the decomposition of related ICT and e-government indices together with explanatory factors derived from the literature. The European Union Member States were chosen as a sample for the exploratory analysis because of the availability of relevant indicators. More specifically, correlation, factor, regression, and cluster analyses were employed as empirical strategies to carry out this study. The Human Development Index together with research and development expenditure are the most important explanatory factors for the new approach, while the traditional set of indicators is still mostly correlated with the gross domestic product per capita. Finally, five clusters of Member States were identified and their implications for improving the use of ICT in the public sector are described.

Suggested Citation

  • Lněnička Martin & Máchová Renáta, 2022. "A theoretical framework to evaluate ICT disparities and digital divides: Challenges and implications for e-government development," Review of Economic Perspectives, Sciendo, vol. 22(1), pages 25-51, March.
    • Handle: RePEc:vrs:reoecp:v:22:y:2022:i:1:p:25-51:n:3
    DOI: 10.2478/revecp-2022-0002
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    References listed on IDEAS

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    5. Ventura, Eva & Satorra, Albert, 2015. "A multiple indicator model for panel data: an application to ICT area-level variation," 26th European Regional ITS Conference, Madrid 2015 127191, International Telecommunications Society (ITS).
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    cluster analysis; digital divide; e-government; European Union; exploratory factor analysis; ICT disparities;
    All these keywords.

    JEL classification:

    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy

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