Izvorni znanstveni članak
https://doi.org/10.18045/zbefri.2022.2.375
The impact of ICT capital growth on economic growth: the case of Egypt
Hoda Mansour
; University of Business and Technology, College of Business Administration, Abdulrahman fageeh, Jeddah, Saudi Arabia
Sažetak
Capital investments in information and communication technology (ICT) have
been a major contributor to the growth of several developed countries. In an
attempt to boost their economies, some emerging and developing countries have
been following a similar path, in which they heavily invest in the sector of ICT.
However, due to other factors, ICT capital growth may not always produce the
desired economic outcome. The purpose of this study is to estimate the impact of
capital growth in ICT on economic growth in one developing country, Egypt,
which has been heavily investing in the sector of ICT. The study analyses time
series data covering the period from 1999 to 2019 using an error correction
model. The findings demonstrate that there is no long-term positive association
between ICT capital growth and economic growth in Egypt. While the development
of ICT provides the potential for Egypt to achieve sustained economic growth, the
significance and size of these impacts are currently negligible. The study concludes
that in order to benefit from capital investments in ICT, policymakers should enact
high-quality investment policies and improve the overall quality of the surrounding
environment, such as the regulatory and institutional environments, in addition to
controlling inflation and government consumption.
Ključne riječi
economic growth; ICT; capital growth; digital economy
Hrčak ID:
289642
URI
Datum izdavanja:
30.12.2022.
Posjeta: 666 *