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The Impact of ICT on the GDP Growth of Western Balkan Countries Cover

The Impact of ICT on the GDP Growth of Western Balkan Countries

Open Access
|Jul 2022

Abstract

The aim is to investigate the Information Communication Technology (ICT) on GDP growth in Western Balkan countries from 2000 - 2019. Different econometric techniques were used such as pooled OLS, fixed effects, random effects, and the Hausman Taylor model with instrumental variables (IV). The findings indicate that fixed telephone subscriptions and individuals using the internet have a positive effect on GDP growth, while the fixed broadband subscriptions and mobile cellular subscriptions have a negative effect on GDP growth. The results also show general government final consumption has a negative effect on GDP growth, whereas foreign direct investment has a positive effect on GDP growth, but the coefficient is statistically insignificant. The study will serve for policy makers to invest more in ICT since this will contribute to the economic growth and welfare benefits. There is no study that has been analyzed about ICT in Western Balkan countries, thus findings will be valuable to the government.

Language: English
Page range: 105 - 119
Published on: Jul 4, 2022
In partnership with: Paradigm Publishing Services
Publication frequency: 2 issues per year
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© 2022 Arta Ejupi Ibrahimi, Besnik Fetai, published by South East European University
This work is licensed under the Creative Commons Attribution 4.0 License.