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ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach

This study examines the impact of information and communication technologies (ICTs) on labour productivity in developing countries from 2000 to 2019, using the two-step System GMM estimation and dynamic panel quantile regression. The empirical results present new evidence on the moderating effect of...

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Main Authors: Yong, Sze-Wei, Law, Siong-Hook, Ibrahim, Saifuzzaman, W. Mohamad, Wan Norhidayah
Format: Article
Language:English
Published: Universiti Malaysia Sarawak 2024
Online Access:http://psasir.upm.edu.my/id/eprint/113517/1/113517.pdf
http://psasir.upm.edu.my/id/eprint/113517/
https://publisher.unimas.my/ojs/index.php/IJBS/article/view/6868
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spelling my.upm.eprints.1135172024-11-26T03:11:25Z http://psasir.upm.edu.my/id/eprint/113517/ ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach Yong, Sze-Wei Law, Siong-Hook Ibrahim, Saifuzzaman W. Mohamad, Wan Norhidayah This study examines the impact of information and communication technologies (ICTs) on labour productivity in developing countries from 2000 to 2019, using the two-step System GMM estimation and dynamic panel quantile regression. The empirical results present new evidence on the moderating effect of ICTs with human capital, financial development and trade openness on labour productivity in developing countries. The interaction terms between ICTs and these three moderators show positive and statistically significant determinants of labour productivity. These three interaction terms have a greater influence on labour productivity than the impact of each variable assessed individually. The dynamic panel quantile regression results revealed that ICTs statistically significant to enhance labour productivity in lower and intermediate quantiles than in the highest quantiles in developing countries. This finding suggested that ICTs play an essential role in improving productivity at the lower and average labour productivity levels. This study can help policymakers develop a long-term strategy in terms of ICTs adoption and usage more intensively in developing countries as they strive to achieve the goals of industrial 4.0. © 2024, Universiti Malaysia Sarawak. All rights reserved. Universiti Malaysia Sarawak 2024 Article PeerReviewed text en cc_by_nc_sa_4 http://psasir.upm.edu.my/id/eprint/113517/1/113517.pdf Yong, Sze-Wei and Law, Siong-Hook and Ibrahim, Saifuzzaman and W. Mohamad, Wan Norhidayah (2024) ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach. International Journal of Business and Society, 25 (1). pp. 27-48. ISSN 1511-6670; eISSN: 1511-6670 https://publisher.unimas.my/ojs/index.php/IJBS/article/view/6868 10.33736/ijbs.6868.2024
institution Universiti Putra Malaysia
building UPM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Putra Malaysia
content_source UPM Institutional Repository
url_provider http://psasir.upm.edu.my/
language English
description This study examines the impact of information and communication technologies (ICTs) on labour productivity in developing countries from 2000 to 2019, using the two-step System GMM estimation and dynamic panel quantile regression. The empirical results present new evidence on the moderating effect of ICTs with human capital, financial development and trade openness on labour productivity in developing countries. The interaction terms between ICTs and these three moderators show positive and statistically significant determinants of labour productivity. These three interaction terms have a greater influence on labour productivity than the impact of each variable assessed individually. The dynamic panel quantile regression results revealed that ICTs statistically significant to enhance labour productivity in lower and intermediate quantiles than in the highest quantiles in developing countries. This finding suggested that ICTs play an essential role in improving productivity at the lower and average labour productivity levels. This study can help policymakers develop a long-term strategy in terms of ICTs adoption and usage more intensively in developing countries as they strive to achieve the goals of industrial 4.0. © 2024, Universiti Malaysia Sarawak. All rights reserved.
format Article
author Yong, Sze-Wei
Law, Siong-Hook
Ibrahim, Saifuzzaman
W. Mohamad, Wan Norhidayah
spellingShingle Yong, Sze-Wei
Law, Siong-Hook
Ibrahim, Saifuzzaman
W. Mohamad, Wan Norhidayah
ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach
author_facet Yong, Sze-Wei
Law, Siong-Hook
Ibrahim, Saifuzzaman
W. Mohamad, Wan Norhidayah
author_sort Yong, Sze-Wei
title ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach
title_short ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach
title_full ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach
title_fullStr ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach
title_full_unstemmed ICTs and labour productivity nexus in developing countries: evidence from panel estimation approach
title_sort icts and labour productivity nexus in developing countries: evidence from panel estimation approach
publisher Universiti Malaysia Sarawak
publishDate 2024
url http://psasir.upm.edu.my/id/eprint/113517/1/113517.pdf
http://psasir.upm.edu.my/id/eprint/113517/
https://publisher.unimas.my/ojs/index.php/IJBS/article/view/6868
_version_ 1817844671839207424
score 13.244413

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