ICT Impact on Jordan's Economic Growth from 2000 to 2019
Publication Name
2023 International Conference on Sustainable Islamic Business and Finance, SIBF 2023
Abstract
In recent years, there has been increased discussion about the importance of information and communications technology (ICT), particularly in terms of how it facilitates the work of individuals and businesses. For example, Jordan's ICT sector has enabled the country to diversify its economy and makes it one of the most advanced in the Middle East. This study employs multiple regression analysis to examine the impact of ICT on Jordan's economic growth from 2000-2019. There are several economic theories that have examined the relationship between ICT and economic growth. These theories offer different perspectives on this topic. Theories on economic growth suggest that ICT can either increase labor productivity and efficiency (neoclassical growth theory) or lead to economic growth by generating new ideas and innovations (endogenous growth theory). From these two theories, ICT obviously contributes to economic growth. The empirical analysis shows that imports of ICT goods, the number of mobile subscriptions, and the use of the Internet by individuals have a positive and significant impact on the economic growth of Jordan's gross domestic product (GDP). These ICT indicators have contributed to this growth by improving the productivity and efficiency of the Jordanian economy and facilitating trade and investment. Nevertheless, ICT goods exports had a negative impact on Jordan's GDP, which could make sense given that the ICT industry in Jordan is still in a growth phase.
Open Access Status
This publication is not available as open access
First Page
391
Last Page
394