Cited by 1,815ICT Impact and PoliciesEconomic Growth and DevelopmentFiscal Policy and Economic Growth

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Telecommunications Infrastructure and Economic Development: A Simultaneous Approach

Röller, Lars-Hendrik, Waverman, Leonard·2001·American Economic Review

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Abstract

In this paper we investigate how telecommunications infrastructure affects economic growth. We use evidence from 21 OECD countries over a 20-year period to examine the impacts that telecommunications developments may have had. We jointly estimate a micromodel for telecommunication investment with a macro production function. We find evidence of a significant positive causal link, especially when a critical mass of telecommunications infrastructure is present. Interestingly, the critical mass appears to be at a level of telecommunications infrastructure that is near universal service. (JEL O57, O47, L69)

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Authors: Röller, L.-H., & Waverman, L.
Affiliations: INSEAD (FR)
University of Toronto (CA)
Venue: American Economic Review
Publisher: American Economic Association
Published: 2001-09-01
Volume: 91
Issue: 4
Pages: 909-923
ISSN: 0002-8282 (ISSN-L)
DOI: 10.1257/aer.91.4.909
OpenAlex: W3123689642
Cited by: 1,815
References: 20
Citations by year: 2026: 86 · 2025: 80 · 2024: 85 · 2023: 79 · 2022: 128 · 2021: 110 · 2020: 84 · 2019: 91 · 2018: 77 · 2017: 109 · 2016: 77 · 2015: 72 · 2014: 84 · 2013: 84 · 2012: 102
FWCI: 95.84
Type: journal article
Language: en
Open access: closed
Locations: American Economic Review (publishedVersion)
RePEc: Research Papers in Economics (submittedVersion)
Topics: Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › ICT Impact and Policies
Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Economic Growth and Development
Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Fiscal Policy and Economic Growth
Keywords: telecommunications infrastructure, economic growth, critical mass, universal service, OECD countries, simultaneous equations model

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Telecommunications Infrastructure and Economic Development: A Simultaneous Approach

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