Empirical Analysis of Inclusive Growth, Information and Communication Technology Adoption, and Institutional Quality

Abstract

Using a sample of 193 countries from 2010 to 2019, this study investigates the impact of institutional quality index (IQI) and information and communication technology (ICT) on inclusive growth. The study engaged the panel spatial correlation consistent (PSCC-FE), instrumental variable-generalized method of moments (IV-GMM), and simultaneous quantile regressions (SQREG) models to assess if the impact differs by economic development (high-, low-, lower-middle- and upper-middle-income countries). The following findings emerge. The effect of IQI is positive across all models from the full sample, while that of ICT is heterogeneous, with mobile phones having a significant positive impact. The interaction effect is observed to be sensitive to the choice of ICT indicator. From the sub-samples, both IQI, ICT and their interaction show significant heterogeneous effect with consistent positive (negative interaction) outcomes in high-income countries. Thus, our findings strongly suggest that policymakers should prioritize institutional quality and ICT to ensure that economic growth translates into better living conditions for people in other income groups.

The Moderating Effect of Digitalisation on the Relationship between Corruption and Domestic Resource Mobilisation: Evidence from Developing Countries

“…Data integration through digitalisation significantly enhances RM by enabling tax authorities to identify discrepancies and uncover hidden revenue sources. Implicitly, this finding aligns with the work of Adeleye et al (2023).…”

“…The mean score for DRM, measured as tax revenue, is 2.56, with a standard deviation of 0.66. Additionally, the mean corruption score, rated on a scale of 1 (indicating least corruption) to 10 (indicating highest corruption) in developing countries, is 1.65 4 . The mean digitalisation score is established at 3.49, with a standard deviation of 0.53.…”

On the Asymmetric Relation between Inflation and Growth in Mexico: A NARDL Approach

“…The vector fitted is corroborated with a diagnostic test with an ordinary R 2 of 98.36%, showing that the goodness of fit is high (see Table 5) (Adeleye et al 2023;Wang et al 2020). The asymmetric long-run coefficients are also given in Table 5 and reveal the asymmetric cointegration equation in which for each unit of change in the level of the price index, whether positive or negative, the monthly economic activity has an impact of 0.138% and 2.12%, respectively, with significant levels (p-values less than 0.01 or 1%).…”

The Impacts of ICT on Economic Growth in the MENA Countries: Does Institutional Matter?

“…Countries that possess superior institutional quality are more inclined to possess superior ICT infrastructure and are more likely to reap greater advantages from the implementation of ICT. Conversely, countries with inferior institutional quality may not witness comparable levels of ICT advancement (Entele, 2021;Gyamfi et al, 2022;Adeleye et al, 2023). For example, Entele's (2021) research indicates that there exists a significant relationship between the quality and performance of formal…”

“…This, in turn, has a direct influence on the economic growth rate. In addition, Adeleye et al (2023) Conversely, countries with inferior institutional quality may not witness comparable levels of ICT…”