How do institutions matter in the income-equalizing effect of mobile phone penetration?

Asongu, Simplice A (2013): How do institutions matter in the income-equalizing effect of mobile phone penetration? Published in: European Economics Letters , Vol. 2, No. 2 (December 2013): pp. 56-61.

Abstract

The object of this paper is to complement theoretical ‘mobile penetration’ literature with empirical evidence in a dual manner: on the one hand, assess the income-redistributive effect of mobile phone penetration and; on the other hand, the instrumentality of good governance in this nexus. Main findings suggest an equalizing income-redistributive effect, with a higher magnitude in the presence of government quality instruments. It follows that, good governance is a necessary condition for a higher income-equalizing effect of mobile phone penetration. The empirical evidence which deviates from mainstream country-specific and microeconomic survey-based approaches is on 52 African countries. ‘Mobile phone’-oriented poverty reduction channels are also discussed.

• Item Type: MPRA Paper
• Language: English
• Keywords: Mobile Phones; Shadow Economy; Poverty; Inequality; Africa
• Subjects: E - Macroeconomics and Monetary Economics > E0 - General > E00 - General; G - Financial Economics > G2 - Financial Institutions and Services > G20 - General; I - Health, Education, and Welfare > I3 - Welfare, Well-Being, and Poverty > I30 - General; L - Industrial Organization > L9 - Industry Studies: Transportation and Utilities > L96 - Telecommunications; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O33 - Technological Change: Choices and Consequences ; Diffusion Processes

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