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ICTs quality and quantity and the margins of trade

Bibliographic Data

ID21519554
AuthorsAna Lucia Abeliansky (University of Göttingen), Javier Barbero (0000-0002-2155-3996, Joint Research Center, corresponding author), Ernesto Rodríguez‐crespo (0000-0002-0189-3715, Universidad Autónoma de Madrid)
Year2021
Volume45
Issue1
Pages102056
Publication date2021-02-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueTelecommunications Policy (JOURNAL)
Journal identifiersISSN: 0308-5961 • E-ISSN: 1879-3258
PublisherElsevier BV (PUBLISHER)
DOI10.1016/j.telpol.2020.102056
OpenAlexW3091838886
LanguageEN
Citations received7
References cited44

Given the importance of the fixed costs of exporting, we investigate how information and communication technologies (ICTs) relate to the extensive and intensive margin of trade (the fraction of products that are exported and the market share, respectively). We use a novel dataset on the quantity and quality of ICTs, namely the number of subscriptions (per capita) and the average quality of subscriptions (bandwidth). To test this relationship, we use an augmented Gravity Model of Trade with ICTs using panel data and controlling for multilateral resistance. Regression results for 150 countries over 1995–2014 provide robust evidence that ICTs matter for the extensive margin of trade. The evidence is even stronger for developing countries in terms of quality. Although the number of subscriptions matters for the extensive margin, the quality matters even more. While having a device helps producers and consumers access world markets, how much information these devices can share and how stable connections are also matter

Business · Econometrics · Economics · Gravity model of trade · ICTS · Information and Communications Technology · International trade · Panel data · Per capita · Computer Science · Economic Growth and Productivity · Firm Innovation and Growth · Global trade and economics

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Unique citing works7
Citations per year1,4
Citation span2021 - 2025 (5)
Citation velocityrecent
Highly citedNo
Citation typesNeutral: 7

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