The of role economic growth in modulating mobile connectivity dynamics for financial inclusion in developing countries

Asongu, Simplice and Odhiambo, Nicholas (2022): The of role economic growth in modulating mobile connectivity dynamics for financial inclusion in developing countries. Published in: World Affairs , Vol. 185, No. 3 (2022): 530 -556.

Abstract

This study establishes economic growth needed for supply-side mobile money drivers in developing countries to be positively related to mobile money innovations in the perspectives of mobile money accounts, the mobile phone used to send money, and the mobile phone used to receive money. The empirical evidence is based on Tobit regressions. For the negative net relationships that are computed, minimum economic growth thresholds are established above which the net negative relationships become net positive relationships. The following minimum economic growth rates are required for nexuses between supply-side mobile money drivers and mobile money innovations to be positive: (i) 6.109% (6.193%) of GDP growth for mobile connectivity performance to be positively associated with the mobile phone used to send (receive) money and (ii) 4.590 % (4.259%) of GDP growth for mobile connectivity coverage to be positively associated with the mobile phone used to send (receive) money.

• Item Type: MPRA Paper
• Language: English
• Keywords: Mobile money; technology diffusion; financial inclusion; inclusive innovation
• Subjects: D - Microeconomics > D1 - Household Behavior and Family Economics > D10 - General; D - Microeconomics > D1 - Household Behavior and Family Economics > D14 - Household Saving; Personal Finance; D - Microeconomics > D3 - Distribution > D31 - Personal Income, Wealth, and Their Distributions; D - Microeconomics > D6 - Welfare Economics > D60 - General; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O30 - General

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