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Can internet infrastructure help reduce regional disparities? : evidence from Turkey

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  • Celbis M.G.
  • Crombrugghe D.P.I. de

    (UNU-MERIT)

Abstract

This study presents novel evidence regarding the role of regional internet infrastructure in reducing regional per capita income disparities. We base our study on the assumptions that 1 the diffusion of information homogenizes regional economies through reducing the dissimilarities in institutions and culture, and 2 the telecommunication capacity, represented as the internet infrastructure of a region, facilitates this flow of information. Using the data from the 26 statistical regions of Turkey, we find evidence that internet infrastructure has contributed to regional convergence during the period 1999-2011. We also observe that the Turkish economic geography is defined by a strong core-periphery pattern and significant spatial clustering.

Suggested Citation

  • Celbis M.G. & Crombrugghe D.P.I. de, 2014. "Can internet infrastructure help reduce regional disparities? : evidence from Turkey," MERIT Working Papers 078, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  • Handle: RePEc:unm:unumer:2014078
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    File URL: https://www.merit.unu.edu/publications/wppdf/2014/wp2014-078.pdf
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    Keywords

    Macroeconomics: Consumption; Saving; Production; Employment; and Investment: General (includes Measurement and Data); Public Goods; Telecommunications; Economic Development: Urban; Rural; Regional; and Transportation Analysis; Housing; Infrastructure; Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence; Size and Spatial Distributions of Regional Economic Activity;

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • E20 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - General (includes Measurement and Data)
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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