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Inflation and Broadband Revisited. Evidence from an OECD Panel

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  • Klaus S. Friesenbichler

Abstract

This note revisits the conjecture that the use of broadband internet lowers transaction costs and thereby inflation. Using a macroeconomic panel of OECD countries, it roughly confirms previous findings reported by Yi and Choi (2005) by addressing conceptual and econometric issues.

Suggested Citation

  • Klaus S. Friesenbichler, 2016. "Inflation and Broadband Revisited. Evidence from an OECD Panel," WIFO Working Papers 527, WIFO.
  • Handle: RePEc:wfo:wpaper:y:2016:i:527
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    4. Aisen, Ari & Veiga, Francisco Jose, 2006. "Does Political Instability Lead to Higher Inflation? A Panel Data Analysis," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 38(5), pages 1379-1389, August.
    5. Bruno, Giovanni S.F., 2005. "Approximating the bias of the LSDV estimator for dynamic unbalanced panel data models," Economics Letters, Elsevier, vol. 87(3), pages 361-366, June.
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    7. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, September.
    8. Baltagi, Badi H. & Li, Qi, 1995. "Testing AR(1) against MA(1) disturbances in an error component model," Journal of Econometrics, Elsevier, vol. 68(1), pages 133-151, July.
    9. Choi, In, 2001. "Unit root tests for panel data," Journal of International Money and Finance, Elsevier, vol. 20(2), pages 249-272, April.
    10. Norton, Seth W, 1992. "Transaction Costs, Telecommunications, and the Microeconomics of Macroeconomic Growth," Economic Development and Cultural Change, University of Chicago Press, vol. 41(1), pages 175-196, October.
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    Cited by:

    1. Klaus S. Friesenbichler, 2021. "What Explains Aggregate Telecom Investments? Evidence From an EU-OECD Panel," WIFO Working Papers 583, WIFO.
    2. Karl-Heinz Neumann & Thomas Plückebaum & Michael Böheim & Susanne Bärenthaler-Sieber, 2017. "Evaluierung der Breitbandinitiative bmvit 2015/2016," WIFO Studies, WIFO, number 60494, December.
    3. Klaus S. Friesenbichler, 2016. "Österreich 2025 – Zur Zukunft der Telekommunikationspolitik in Österreich," WIFO Monatsberichte (monthly reports), WIFO, vol. 89(12), pages 885-894, December.
    4. Karl-Heinz Neumann & Thomas Plückebaum & Michael Böheim & Susanne Bärenthaler-Sieber, 2020. "Evaluierung der Breitbandinitiative BMLRT 2017/2018," WIFO Studies, WIFO, number 66807, December.
    5. Klaus S. Friesenbichler & Agnes Kuegler & Andreas Reinstaller, 2021. "Does value chain integration dampen producer price developments? Evidence from the European Union," The World Economy, Wiley Blackwell, vol. 44(1), pages 89-106, January.

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    Keywords

    Inflation; broadband TP_Digitalisierung;

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