Title

ICT and income inequality: a cross-national perspective

Document Type

Article

Publication Date

3-4-2018

Subject Area

ARRAY(0x55f3e98b8dc0)

Abstract

The importance of information and communications technology (ICT) for economic growth and development is widely researched and seemingly well understood, but the effect of such investments on income inequality is less well documented. On the one hand, improvements in infrastructure are expected to expand economic opportunities for previously underserved populations. On the other hand, ICT growth may exacerbate inequality due to differential access and skill premiums. We use panel data from 109 countries during the period 2001–2014 to examine the empirical connection between ICT and income inequality in a cross-national context. Our results suggest that the effect of ICT on income inequality depends both on the specific type of ICT and on the measure of income inequality. In addition, the magnitude of ICT’s effect on income inequality is comparable to that of more traditional forms of economic infrastructure. Finally, we find that the association between ICT and income inequality is conditional on other economic and political characteristics.

Publication Title

International Review of Applied Economics

Volume

32

Issue

2

First Page

195

Last Page

214

Digital Object Identifier (DOI)

10.1080/02692171.2017.1338677

ISSN

02692171

E-ISSN

14653486

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