Telecommunications and economic growth: An empirical analysis of sub-Saharan Africa

Sang H. Lee, John Levendis, Luis Gutierrez

Resultado de la investigación: Contribución a RevistaArtículo

45 Citas (Scopus)

Resumen

We examine the effect of mobile cellular phones on economic growth in sub-Saharan Africa where a marked asymmetry is present between land line penetration and mobile telecommunications expansion. This study extends previous research along two important dimensions. First, we allow for the potential endogeneity between economic growth and telecommunications expansion by employing a special linear Generalized Method of Moments (GMM) estimator. Second, we explicitly model for varying degrees of substitutability between mobile cellular and land line telephony, so that greater expansion of mobile telecommunications can have a different impact whenever the level of land line penetration differs. We find that mobile cellular phone expansion is an important determinant of the rate of economic growth in sub-Saharan Africa. Moreover, we find that the contribution of mobile cellular phones to economic growth has been growing in importance in the region, and that the marginal impact of mobile telecommunication services is even greater wherever land line phones are rare. Given the low cost of mobile telecommunications technology relative to other broad infrastructure projects, especially land line infrastructure, we advocate that mobile telecommunication services be encouraged in the area. © 2011 Copyright Taylor and Francis Group, LLC.
Idioma originalEnglish (US)
Páginas (desde-hasta)461-469
Número de páginas9
PublicaciónApplied Economics
DOI
EstadoPublished - feb 1 2012

Huella dactilar

Mobile telecommunications
Empirical analysis
Sub-Saharan Africa
Economic growth
Telecommunications
Telecommunication services
Penetration
Substitutability
Infrastructure projects
Costs
Endogeneity
Generalized method of moments estimator
Asymmetry
Telephony

Citar esto

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Telecommunications and economic growth: An empirical analysis of sub-Saharan Africa. / Lee, Sang H.; Levendis, John; Gutierrez, Luis.

En: Applied Economics, 01.02.2012, p. 461-469.

Resultado de la investigación: Contribución a RevistaArtículo

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