Determinants of E-Government Use in the European Union: An Empirical Analysis

Abstract

Efficient governments, defined as those that provide digital public services and effectively support their citizens through modern tools and channels, can be the result of a variety of factors, including education, urbanization, infrastructure, and economic growth as measured by GDP per capita. Existing research, however, has not provided a convincing answer to this question. At the same time, there is an undeniable increase in the availability and use of digital government services, with disparities in the range of services offered and access to infrastructure. Based on an empirical data set from 2008 to 2020, we propose an investigation into the determinants of e-government use in European Union countries. We use quantitative analysis based on the generalized method of moments (GMM) to explain why people use e-government. Furthermore, we substantiate the results found using the GMM methodology applied to panel data with Granger causality, which shows the contribution of variables to the current values of the other variables over time, highlighting the powerful influences between them. We discovered that education is the most important determinant factor for e-government use in the European Union, but there are some surprising findings, such as the negative correlation between internet use and e-government indicators, or the fact that a better government does not automatically result in economic growth. Rather, a developed country establishes the foundation for its citizens to use public services efficiently.