IDEAS home Printed from https://ideas.repec.org/p/tky/fseres/2008cf545.html
   My bibliography  Save this paper

Telecommunication Services and Economic Growth: Evidence from India

Author

Listed:
  • Muttur Ranganathan Narayana

    (CIRJE, University of Tokyo and Institute for Social and Economic Change)

Abstract

This paper estimates the contribution of telecommunication (or telecom) services to aggregate economic growth in India. Estimated contribution is distinguished between public and private sectors to highlight the impact of telecom privatization on economic growth. Knowledge of policy determinants of demand of telecom services is shown to be essential to enhance growth contribution of telecom services. Using a recent sample survey data from Karnataka State in South India, price and income determinants of demand for telecom services are estimated by capacity of telephone exchanges Estimation results offer evidence for significant negative own price elasticity and positive income elasticity of demand for telecom services. In addition, survey data are used to show for non-economic factors that influence demand for telecom services including non-awareness of the usage and cost of value added services. These results have implications for design of a national policy for promotion of demand for telecom services and economic growth.

Suggested Citation

  • Muttur Ranganathan Narayana, 2008. "Telecommunication Services and Economic Growth: Evidence from India," CIRJE F-Series CIRJE-F-545, CIRJE, Faculty of Economics, University of Tokyo.
    • Handle: RePEc:tky:fseres:2008cf545
    as

    Download full text from publisher

    File URL: http://www.cirje.e.u-tokyo.ac.jp/research/dp/2008/2008cf545.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Sridhar, Kala Seetharan & Sridhar, Varadharajan, 2007. "Telecommunications Infrastructure And Economic Growth: Evidence From Developing Countries," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 7(2), pages 37-56.
    2. El Khoury, Antoine C. & Savvides, Andreas, 2006. "Openness in services trade and economic growth," Economics Letters, Elsevier, vol. 92(2), pages 277-283, August.
    3. Das, Pinaki & Srinivasan, P. V., 1999. "Demand for telephone usage in India," Information Economics and Policy, Elsevier, vol. 11(2), pages 177-194, July.
    4. World Bank, 2004. "India : Investment Climate and Manufacturing Industry," World Bank Publications - Reports 14378, The World Bank Group.
    5. Gary Madden (ed.), 2003. "Traditional Telecommunications Networks," Books, Edward Elgar Publishing, number 1982.
    6. Jalava, Jukka & Pohjola, Matti, 2002. "Economic growth in the New Economy: evidence from advanced economies," Information Economics and Policy, Elsevier, vol. 14(2), pages 189-210, June.
    7. Jalava, Jukka & Pohjola, Matti, 0. "ICT as a source of output and productivity growth in Finland," Telecommunications Policy, Elsevier, vol. 31(8-9), pages 463-472, September.
    8. Garbacz, Christopher & Thompson Jr, Herbert G., 2007. "Demand for telecommunication services in developing countries," Telecommunications Policy, Elsevier, vol. 31(5), pages 276-289, June.
    9. Lang, Harald & Lundgren, Stefan, 1991. "Price elasticities for residential demand for telephone calling time : An estimate on Swedish data," Economics Letters, Elsevier, vol. 35(1), pages 85-88, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Esteban Alfaro Cortés & José-Luis Alfaro Navarro, 2011. "Do ICT Influence Economic Growth and Human Development in European Union Countries?," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 17(1), pages 28-44, February.
    2. repec:kap:iaecre:v:17:y:2011:i:1:p:28-44 is not listed on IDEAS
    3. Sawadogo, Fayçal, 2021. "Demand price elasticity of mobile voice communication: A comparative firm level data analysis," Information Economics and Policy, Elsevier, vol. 57(C).
    4. Sunday Mauton A. Posu, 2006. "Information and Communication Technologies in the Nigerian Economy," Papers of the Annual IUE-SUNY Cortland Conference in Economics, in: Oguz Esen & Ayla Ogus (ed.), Proceedings of the Conference on Human and Economic Resources, pages 327-337, Izmir University of Economics.
    5. José Gómez-Barroso & Claudio Feijóo, 2012. "Volition versus feasibility: state aid when aid is looked upon favourably: the broadband example," European Journal of Law and Economics, Springer, vol. 34(2), pages 347-364, October.
    6. Tony Irawan, 2014. "ICT and economic development: comparing ASEAN member states," International Economics and Economic Policy, Springer, vol. 11(1), pages 97-114, February.
    7. Vu, Khuong M., 2013. "Information and Communication Technology (ICT) and Singapore’s economic growth," Information Economics and Policy, Elsevier, vol. 25(4), pages 284-300.
    8. Tony Irawan, 2013. "ICT and Economic Development:Conclusion from IO Analysis for Selected ASEAN Member States," EIIW Discussion paper disbei192, Universitätsbibliothek Wuppertal, University Library.
    9. Biancini, Sara, 2011. "Behind the scenes of the telecommunications miracle: An empirical analysis of the Indian market," Telecommunications Policy, Elsevier, vol. 35(3), pages 238-249, April.
    10. Habib Ur Rahman & Ghulam Ali & Umer Zaman & Carlo Pugnetti, 2021. "Role of ICT Investment and Diffusion in the Economic Growth: A Threshold Approach for the Empirical Evidence from Pakistan," IJFS, MDPI, vol. 9(1), pages 1-14, March.
    11. Thornton Matheson & Patrick Petit, 2021. "Taxing telecommunications in developing countries," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 28(1), pages 248-280, February.
    12. Daoqin TONG & Sandy DALL’ERBA, 2008. "Spatial Disparities In The Chinese Ict Sector: A Regional Analysis," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 28, pages 111-129.
    13. Kyriakidou, Vagia & Michalakelis, Christos & Sphicopoulos, Thomas, 2013. "Assessment of information and communications technology maturity level," Telecommunications Policy, Elsevier, vol. 37(1), pages 48-62.
    14. repec:ilo:ilowps:366690 is not listed on IDEAS
    15. António Madureira & Nico Baken & Harry Bouwman, 2011. "Value of digital information networks: a holonic framework," Netnomics, Springer, vol. 12(1), pages 1-30, April.
    16. Arsham Reisinezhad, 2020. "Absorption capacity and Natural Resource Curse," PSE Working Papers halshs-03012661, HAL.
    17. Tudorache, Maria-Daniela, 2020. "Examining the Drivers of Human Development in European Union," EconStor Conference Papers 222443, ZBW - Leibniz Information Centre for Economics.
    18. Matti Pohjola, 2002. "The New Economy in Growth and Development," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 18(3), pages 380-396.
    19. Sergey Valery Samoilenko, 2013. "Investigating factors associated with the spillover effect of investments in telecoms: Do some transition economies pay too much for too little?," Information Technology for Development, Taylor & Francis Journals, vol. 19(1), pages 40-61, January.
    20. Peñas-de Pablo, José Miguel & Portilla-Figueras, José Antonio & Navío-Marco, Julio & Salcedo-Sanz, Sancho, 2015. "Identifying Telecommunication strategies and investment Opportunities in Latin American Countries Based on Clustering Analysis," 26th European Regional ITS Conference, Madrid 2015 127175, International Telecommunications Society (ITS).
    21. Thomas, Mini P, 2019. "Measurement of Investment Contribution of Service Sector in India’s Economic Growth," MPRA Paper 103702, University Library of Munich, Germany.
    22. Sèna K. Gnangnon, 2021. "Aid for Trade and services export diversification in recipient countries," Australian Economic Papers, Wiley Blackwell, vol. 60(2), pages 189-225, June.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:tky:fseres:2008cf545. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CIRJE administrative office (email available below). General contact details of provider: https://edirc.repec.org/data/ritokjp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.