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Mobile Internet and Income Improvement: Evidence from Viet Nam

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  • TRANG THI PHAM

    (United Nations University-Maastricht Economic and Social Research Institute on Innovation and Technology, Maastricht, the Netherlands2The University of Danang–VNUK Institute for Research and Executive Education, Viet Nam)

Abstract

New developments of existing technologies over time have led to emergent patterns of technology adoption and, accordingly, changed impacts on the economy and society. Focusing on the arrival of mobile internet, this paper identifies significant positive effects of mobile internet on provincial average household income in Viet Nam. The results are identified using a combination of panel fixed effects and instrumental variable approaches. Evidence of impact mechanisms via average household income from wages, firm sizes and employees’ wages, and transportation flows and distances is also presented. Heterogeneity analysis suggests that the effect sizes are larger for lower-income quintiles and for rural areas, highlighting the more inclusive impact of the innovation over the last decade. The outcomes from Viet Nam, a lower-middle-income country, can bring further understanding about the extent of the impacts of second-generation mobile for development in particular and information and communication technologies for development in general.

Suggested Citation

  • Trang Thi Pham, 2025. "Mobile Internet and Income Improvement: Evidence from Viet Nam," Asian Development Review (ADR), World Scientific Publishing Co. Pte. Ltd., vol. 42(03), pages 71-104, September.
    • Handle: RePEc:wsi:adrxxx:v:42:y:2025:i:03:n:s0116110525500210
    DOI: 10.1142/S0116110525500210
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    Keywords

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    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • R50 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - General

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