Abstract

This paper examines the impact of ICT network on productivity contribution of transportation infrastructure. Using dynamic panel data of OECD member countries, the paper finds that there exists significant complementarity between ICT network and transportation infrastructure. The network effect of motorway infrastructure in OECD countries tends to accelerate when the ICT network grows beyond a certain threshold level.

Abstract

This study examines the impact of ICT growth on the productivity effects of transportation infrastructure. Using dynamic panel data of OECD member countries, the study finds econometrically meaningful results on examining the complementarity between ICT and transportation infrastructures. The network effect of growth of motorway infrastructure in advanced countries tends to accelerate when the ICT network grows beyond a certain threshold level.