The Impact of Mobile Broadband and Internet Bandwidth on Human Development—A Comparative Analysis of Developing and Developed Countries

Abstract

AbstractThis paper examines the impact of information and communication technologies (ICT) on human development in developing and developed countries, measured by the human development index (HDI). The analysis relies on new and contemporary measures of ICT, namely mobile broadband and internet bandwidth, which have only recently become available for many countries. Using data from 180 sample countries over the period 2010–2017, the system GMM estimates suggest that the impact of ICT on human development depends on the country’s development stage and the respective telecommunication service. Mobile broadband drives human development in developing countries, while developed countries gain from increasing internet bandwidth. Further analysis reveals that the positive effects in developing countries are due to improvements in health and education. In contrast, in developed countries, this progress is attributable to positive effects on income.