The Effect of Broadband Internet on RGDP in OECD Countries

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Authors

Simonin, Alexandra

Issue Date

2021-05-07

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Presentation

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en_US

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Scholarship Sewanee 2021 , Broadband , Internet , OECD

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Abstract

This paper aims to measure the impact of broadband internet access on economic growth in OECD countries. The data for this study were collected from OECD databases and Penn World Tables. With this, annual cross-sectional data for 37 OECD countries during the period 2009-2010 are examined with both pooled data and fixed effects. The study finds that the estimated coefficient of broadband internet access is statistically significant. The results suggest that broadband internet access has had a positive impact on economic growth, and a 1 unit increase in the growth of broadband internet access will raise real GDP per capita by approximately $1,201.932 for any given country. The results convey that the saving rate of physical capital, measured as the gross capital formation in GDP, is also statistically significant for the fixed effects regression.

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University of the South

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