Digital development and economic growth in selected ASEAN countries: applying response surfaces for critical bounds of cointegration test
The study attempts to analyse the relationship between digital development and economic growth in selected ASEAN economies using small sample data. Using bound testing technique of cointegration, the new critical values of the test are recalculated to fit for small sample data of each country bas...
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
University Malaya
2019
|
| Subjects: | |
| Online Access: | http://irep.iium.edu.my/77818/ http://irep.iium.edu.my/77818/ http://irep.iium.edu.my/77818/ http://irep.iium.edu.my/77818/1/77818_Digital%20development%20and%20economic%20growth.pdf |
| Summary: | The study attempts to analyse the relationship between digital development and
economic growth in selected ASEAN economies using small sample data. Using
bound testing technique of cointegration, the new critical values of the test are
recalculated to fit for small sample data of each country based on response
surface in order to obtain rigorous results without ignoring the individual
country analysis. The results show that long-run positive impact of digital
transformation on economic growth is profound in Malaysia and the Philippines.
However, in short-run, most countries in the region, regardless of income level
or economic development, encountered negative implication of digital
transformation on growth due to digital divide caused by the diversity of the
member countries of ASEAN that might affect the accessibility and connectivity
of network in the process of transformation. |
|---|