Economics & Sociology

This study investigates whether access to the Internet in schools and the share of its users stimulate productivity development in emerging markets in the period from 2007 to 2016. Following the rise of new endogenous theories, the opposition appeared in the empirical approaches related to the role of ICTs. The analysis is based on distinctive variables and various competitiveness pillars from the datasets published by the World Bank and the World Economic Forum. The empirical findings from the dynamic (GMM) regressions affirm that the interaction to the Internet access in schools, fixed broadband penetration and the latest available technologies affect productivity growth. However, mobile broadband subscription is negatively related to productivity. Hence, the support of competitiveness goals through larger access to the Internet in education, the improved fixed Internet broadband and the absorption of new technologies can make emerging markets more competitive and sustain productivity growth in the long run.

1. Adao, R., Costinot, A., & Donaldson, D. (2017). Nonparametric Counterfactual Predictions in Neoclassical Models of International Trade. American Economic Review, 107(3), 633–689. https://doi.org/10.1257/aer.20150956

2. Albiman, M. M., & Sulong, Z. (2017). The linear and non-linear impacts of ICT on economic growth, of disaggregate income groups within SSA region. Telecommunications Policy, 41(7–8), 555–572. https://doi.org/10.1016/j.telpol.2017.07.007

3. Arellano, M., & Bond, S. (1991). Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations. The Review of Economic Studies, 58(2), 277-297. https://doi.org/10.2307/2297968

4. Bahrini, R., & Qaffas, A. A. (2019). Impact of information and communication technology on economic growth: Evidence from developing countries. Economies, 7, 1-13. https://doi.org/10.3390/economies7010021

5. Bai, C.-E., & Yuen, C.-W. (2002). Technology and the new economy. MIT Press.

6. Becker, G. S. (Gary S. (1993). Human capital : a theoretical and empirical analysis, with special reference to education. The University of Chicago Press.

7. Benhabib, J., & Spiegel, M. M. (2005). Human Capital and Technology Diffusion. In Handbook of Economic Growth (pp. 935-966). https://doi.org/10.1016/S1574-0684(05)01013-0

8. Bilan, Y., & Yamko, P. (2010). Export diversification versus export orientation in the terms of globalization and complicated financial environment. Economics and Sociology, 3(1), 11-26. https://doi.org/10.14254/2071-789X.2010/3-1a/2

9. Bilan, Y., Mishchuk, H., Samoliuk, N., & Grishnova, O. (2019). ICT and Economic Growth: Links and Possibilities of Engaging. Intellectual Economics, 13(1). https://doi.org/10.13165/IE-19-13-1-07

10. Choi, C., & Hoon Yi, M. (2009). The effect of the Internet on economic growth: Evidence from cross-country panel data. Economics Letters, 105(1), 39-41. https://doi.org/10.1016/J.ECONLET.2009.03.028

11. Coase, R. H. (1937). The Nature of the Firm. Economica, 4(16), 386-405. https://doi.org/10.1111/j.1468-0335.1937.tb00002.x

12. Comin, D., & Hobijn, B. (2010). An Exploration of Technology Diffusion. American Economic Review, 100(5), 2031–2059. https://doi.org/10.1257/aer.100.5.2031

13. Gal, T., Nagy, L., David, L., Vasa, L. & Balogh, P. (2013). Technology planning system as a decision support tool for dairy farms in Hungary. Acta Polytechnica Hungarica, 10(8), 231-244.

14. Gavurova, B., Kubak, M., Huculova, E., Popadakova, D., & Bilan, S. (2019). Financial Literacy And Rationality of Youth in Slovakia. Transformations in Business & Economics, 18(3), 43-53.

15. Karaçor, Z., Güvenek, B., Ekinci, E., & Konya, S. (2018). Panel estimation for the relationship between education expenditure and economic growth for oecd countries. Forum Scientiae Oeconomia, 6(2), 7-20. https://doi.org/10.23762/FSO_VOL6NO2_18_1

16. Katz, R. L., & Koutroumpis, P. (2014). The Economic Impact of Telecommunications in Senegal (pp. 129-150). https://doi.org/10.1007/978-3-319-03617-5_11

17. Keller, W. (2004). International Technology Diffusion. Journal of Economic Literature, 42(3), 752-782. https://doi.org/10.1257/0022051042177685

18. Kliestik, T., Kovacova, M., Podhorska, I., & Kliestikova, J. (2018). Searching for Key Sources of Goodwill Creation As New Global Managerial Challenge. Polish Journal of Management Studies, 17(1), 144–154. https://doi.org/10.17512/pjms.2018.17.1.12

19. KVA. (2018). Scientific background: Economic growth, technological change, and climate change. Stockholm. Retrieved from https://www.nobelprize.org/uploads/2018/10/advanced-economicsciencesprize2018.pdf

20. Lechman, E. (2018). Networks Externalities as Social Phenomenon in the Process ICT Diffusion. Economics & Sociology, 11(1), 22-43. https://doi.org/10.14254/2071-789x.2018/11-1/2

21. Levin, A., Lin, C. F., & Chu, C. S. J. (2002). Unit root tests in panel data: Asymptotic and finite-sample properties. Journal of Econometrics, 108, 1-24. https://doi.org/10.1016/S0304-4076(01)00098-7

22. Levine, R. (1997). Financial Development and Economic Growth: Views and Agenda. Journal of Economic Literature, 35(2), 688-726. https://doi.org/10.1596/1813-9450-1678

23. Lucas, R. E. (1988). On the mechanics of economic development. Journal of Monetary Economics, 22(1), 3-42. https://doi.org/10.1016/0304-3932(88)90168-7

24. Majeed, M. T. (2018). Information and communication technology (ICT) and environmental sustainability in developed and developing countries. Pakistan Journal of Commerce and Social Science, 12(3), 758-783.

25. Mankiw, N. G., Romer, P. M., & Weil, D. N. (1992). A Contribution to the Empirics of Economic Growth Author. The Quarterly Journal of Economics, 107(2), 407-437. https://doi.org/10.2307/2118477

26. Maurseth, P. B. (2018a). The effect of the Internet on economic growth: Counter-evidence from cross-country panel data. Economics Letters, 172(1), 74-77. https://doi.org/10.1016/j.econlet.2018.08.034

27. Maurseth, P. B. (2018b). The effect of the Internet on economic growth: Counter-evidence from cross-country panel data. Economics Letters, 172, 74-77. https://doi.org/10.1016/J.ECONLET.2018.08.034

28. Meyer, D. F., Masehla, T. M., & Kot, S. (2017). The relationship between economic growth and economic development: A regional assessment in south africa. Journal of Advanced Research in Law and Economics, 8(4), 1377-1385. https://doi.org/10.14505/jarle.v8

29. Meyer, D. F., & Meyer, N. (2017). Management of Small and Medium Enterprise (SME) Development: an Analysis of Stumbling Blocks in a Developing Region. Polish Journal of Management Studies, 16(1), 127-141. https://doi.org/10.17512/pjms.2017.16.1.11

30. Meyer, N., & Meyer, D. F. (2016). The Relationship Between the Creation of an Enabling Environment and Economic Development: a Comparative Analysis of Management At Local Government Sphere. Polish Journal of Management Studies, 14(2), 150-160. https://doi

31. Mishchuk, H., Bilan, Y., & Pavlushenko, L. (2016). Knowledge management systems: issues in enterprise human capital management implementation in transition economy. Polish Journal of Management Studies, 14(1), 163-173.

32. Mishchuk, H., Roshchyk, I. Sułkowska, J. &Vojtovič, S. (2019). Prospects of Assessing the Impact of External Student Migration on Restoring the Country's Intellectual Potential (Case Study of Ukraine). Economics & Sociology, 12(3), 209-219. https://doi.or

33. Mody, A. (2004). What is An Emerging Market? (Working Paper 177 No. 04). Retrieved from https://www.imf.org/en/Publications/WP/Issues/2016/12/31/What-is-An-Emerging-Market-17598

34. Morawczynski, O., & Ngwenyama, O. (2007). Unraveling the Impact of Investments in ICT, Education and Health on Development: An Analysis of Archival Data of Five West African Countries Using Regression Splines. The Electronic Journal of Information Systems

35. Nagy, J., Oláh, J., Erdei, E., Máté, D., & Popp, J. (2018). The Role and Impact of Industry 4.0 and the Internet of Things on the Business Strategy of the Value Chain – The Case of Hungary. Sustainability, 10(10), 3491. https://doi.org/10.3390/su10103491

36. Najarzadeh, R., Rahimzadeh, F., & Reed, M. (2014). Does the Internet increase labor productivity? Evidence from a cross-country dynamic panel. Journal of Policy Modeling, 36(6), 986–993. https://doi.org/10.1016/J.JPOLMOD.2014.10.003

37. Ngwenyama, O., Andoh-Baidoo, F. K., Bollou, F., & Morawczynski, O. (2006). Is There A Relationship Between ICT, Health, Education And Development? An Empirical Analysis of five West African Countries from 1997-2003. The Electronic Journal of Information S

38. Noh, Y.-H., & Yoo, K. (2008). Internet, inequality and growth. Journal of Policy Modeling, 30(6), 1005–1016. https://doi.org/10.1016/J.JPOLMOD.2007.06.016

39. Oláh, J., Kitukutha, N., Haddad, H., Pakurár, M., Máté, D., & Popp, J. (2018). Achieving Sustainable E-Commerce in Environmental, Social and Economic Dimensions by Taking Possible Trade-Offs. Sustainability, 11(1), 89. https://doi.org/10.3390/su11010089

40. Pereira, A. C., & Romero, F. (2017). A review of the meanings and the implications of the Industry 4.0 concept. Procedia Manufacturing, 13, 1206–1214. https://doi.org/10.1016/J.PROMFG.2017.09.032

41. Poór, J., Juhász, T., Machová, R., Bencsik, A., & Bilan, S. (2018). Knowledge management in human resource management: Foreign-owned subsidiaries’ practices in four CEE countries. Journal of International Studies, 11(3), 295–308. https://doi.org/10.14254/

42. Postelnicu, C., & Dabija, D.-C. (2015). Transfer and Diffusion of New Technologies Within the Supply Chain of Multinational Companies with Operations in Romania—A Contemporary Approach. In Geopolitics, Development, and National Security - Romania and Mold

43. Qiang, C. Z.-W., Rossotto, C., & Kimura, K. (2009). Information and Communications for Development 2009. In W. D. C. W. Bank. (Ed.), Information and Communications for Development 2009 (pp. 35–50). The World Bank. https://doi.org/10.1596/978-0-8213-7605-8

44. Rodríguez-Ardura, I., & Meseguer-Artola, A. (2010). Toward a Longitudinal Model of e-Commerce: Environmental, Technological, and Organizational Drivers of B2C Adoption. The Information Society, 26(3), 209–227. https://doi.org/10.1080/01972241003712264

45. Romer, P. M. (1986). Increasing Returns and Long-Run Growth. Journal of Political Economy, 94(5), 1002-1037. https://doi.org/10.1086/261420

46. Romer, P. M. (1990). Endogenous Technological Change. Journal of Political Economy, 98(5, Part 2), 71-102. https://doi.org/10.1086/261725

47. Roodman, D. (2009). A Note on the Theme of Too Many Instruments. Oxford Bulletin of Economics and Statistics, 71(1), 135–158. https://doi.org/10.1111/j.1468-0084.2008.00542.x

48. Salahuddin, M., & Gow, J. (2016). The effects of Internet usage, financial development and trade openness on economic growth in South Africa: A time series analysis. Telematics and Informatics, 33(4), 1141-1154. https://doi.org/10.1016/J.TELE.2015.11.006

49. Schultz, T. W. (1961). Investment in Human Capital. The American Economic Review, 51(1), 1–17.

50. Ślusarczyk, B. (2019). Industry 4.0 – Are We Ready? Polish Journal of Management Studies, 17(1), 232–248. https://doi.org/10.17512/pjms.2018.17.1.19

51. Solow, R. M. (1956). A Contribution to the Theory of Economic Growth. The Quarterly Journal of Economics, 70(1), 65. https://doi.org/10.2307/1884513

52. Stiroh, K. J. (2002). Are ICT Spillovers Driving the New Economy? Review of Income and Wealth, 48(1), 33–57. https://doi.org/10.1111/1475-4991.00039

53. The World Bank. (2019). World Development Indicators | DataBank. Retrieved February 1, 2019, from https://databank.worldbank.org/data/source/world-development-indicators

54. Thompson, H. G., & Garbacz, C. (2011). Economic impacts of mobile versus fixed broadband. Telecommunications Policy, 35(11), 999–1009. https://doi.org/10.1016/j.telpol.2011.07.004

55. Vasa, L., Gyuricza, Cs. & Baranyai, Zs. (2012). Moral hazard problem and cooperation willingness: some experiences from Hungary. Actual Problems of Economics, 138(12), 301-310.

56. Vovk, Y. (2016). Resource-efficient intelligent transportation systems as a basis for sustainable development. Overview of initiatives and strategies. Journal of Sustainable Development of Transport and Logistics, 1(1), 6-10. https://doi.org/10.14254/jsdt

57. Wallsten, S. (2011). Understanding International Broadband Comparisons 2009 Update. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.1434570

58. Windmeijer, F. (2005). A Finite Sample Correction for the Variance of Linear Efficient Two-step GMM Estimators. Journal of Econometrics, 126(1), 25-51. https://doi.org/10.1016/j.jeconom.2004.02.005

59. World Economic Forum. (2019). The Global Competitiveness Report 2017-2018 | World Economic Forum. Retrieved February 4, 2019, from https://www.weforum.org/reports/the-global-competitiveness-report-2017-2018

60. Yan, J., Meng, Y., Lu, L., & Li, L. (2017). Industrial Big Data in an Industry 4.0 Environment: Challenges, Schemes, and Applications for Predictive Maintenance. IEEE Access, 5, 23484-23491. https://doi.org/10.1109/ACCESS.2017.2765544

61. Zhu, K., Kraemer, K., & Xu, S. (2003). Electronic business adoption by European firms: a cross-country assessment of the facilitators and inhibitors. European Journal of Information Systems, 12(4), 251-268. https://doi.org/10.1057/palgrave.ejis.3000475