Technological Progress and Economic Growth in Sub-Saharan Africa: Evidence from Telecommunications Infrastructure

Posted: 25 Oct 2018

See all articles by Ficawoyi Donou-Adonsou

Ficawoyi Donou-Adonsou

John Carroll University

Sokchea Lim

John Carroll University

Samuel Mathey

Independent

Date Written: 2016

Abstract

This paper investigates the impact of telecommunications infrastructure in Sub-Saharan Africa. We use the World Development Indicators database and apply the instrumental variable-generalized method of moments to a panel of 47 countries over the period 1993–2012. The results show that the Internet and mobile phones have contributed to economic growth. A one percentage point increase in Internet and mobile phone usage raises growth by 0.12 and 0.03 percentage points, respectively. Overall, the results suggest that the development of telecommunications infrastructure fosters economic growth in Sub-Saharan Africa.With much room for potential growth enhancement of telecommunications infrastructure, policies to expand access or reduce cost should be strongly encouraged by African governments, particularly as far as the Internet is concerned.

Keywords: Telecommunications Infrastructure; Economic Growth; Sub-Saharan Africa; Dynamic Panel

JEL Classification: O10; O30; O40

Suggested Citation

Donou-Adonsou, Ficawoyi and Lim, Sokchea and Mathey, Samuel, Technological Progress and Economic Growth in Sub-Saharan Africa: Evidence from Telecommunications Infrastructure (2016). International Advances in Economic Research, Vol. 22, No. 1, pp. 65-75. Available at SSRN: https://ssrn.com/abstract=3258910

Ficawoyi Donou-Adonsou (Contact Author)

John Carroll University ( email )

University Heights, OH 44118
United States

Sokchea Lim

John Carroll University ( email )

1 John Carroll BLVD
University Heights, OH 44118
United States

Samuel Mathey

Independent ( email )

No Address Available

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