ECONOMIC CONDITIONS FOR FULLY INTEGRATING LESS DEVELOPED COUNTRIES’ MACROECONOMIC SYSTEMS WITH THE DIGITAL WORLD - THE CASE OF NIGERIA
Abstract
Debates on how to fully incorporate the macroeconomics of developing countries into mainstream digital economics and economy is inconclusiveness with mixed outcome especially due to huge power infrastructure constraints. Yet the economic impact of the internet is widely documented. Thus, this called for a mathematical economics research. This is to scientifically distil the relevant factors and variables in a pure logical sequence that also generate variables that will enable further research. The main objective of this paper is to examine practical ways of fully integrate the fragile macroeconomies of developing economies into the digital world using Nigeria as a case in point. Pure economic logic and mathematical economic derivation were used for the argument. The finding of this study shows that infinitesimal expansion of consumable short term and long term resources is possible. In terms of economics, biological species can socially co-exist with humanoids and artificial intelligent enabled bots based on programmes and unconstrained economic resources. Virile virtual infrastructure, digital economics can be sustainable in a developing economy if energy per capita is dropped drastically through innovative schemes. Based on the findings of this study, the following recommendations are suggested: policy formulation and implementation that will monitor and coordinate renewal energy research outputs to increase their percentage contribution to GDP. Thereby encourage their mass consumption. More so, since macroeconomics of the digital world is feasible and there is social co-existence is possible anywhere service firms, manufacturing concerns and internet industry should come together to ensure this full integration.
JEL: O11; O14
Article visualizations:
Keywords
Full Text:
PDFReferences
Abelow, D. (2018). If our future is digital, How will it change the world? The Wired. Retrieved April 8, 2020 from https://www.wired.com/insights
Adegbemi, O. B. O., Sheriffdeen T. A. and Adenike O. M. (2012). Investment in Telecommunications Infrastructure and Economic Growth in Nigeria: A Multivariate Approach, British Journal of Economics, Management & Trade, 2(4): 309-326.
Adeneye, O. A., Otto, G. and Cookey, A. E. (2014). The effect of FDI inflows on Economic Growth in Nigeria 1980-2012.West African Journal of Business and Management Science, Nigeria 3(3):1 – 7 Published by faculty of Business Administration Imo State University, Owerri Nigeria.
Adeneye, O. A., Saheed, Z. S., Alexander, A. A. and Ibrahim G. U. (2018). Rural-Urbanisation Effect on Inflationary Pressure and Unemployment in Urban Areas of Lagos State, Nigeria. International Journal of Development and Economic Sustainability, 6(2): 20-40.
Adeola, A. A and Ekejiuba, C.O. (2016). A review of the contributions of telecommunications to the economic growth of Nigeria. International Journal of Electrical & Electronics Engineering, IJEEE, 3,(2), e-ISSN: 1694-2310|p-ISSN: 1694-2426
Akanbi, B. E., Adebayo, A. A., and Olomola, P. A. (2015). Analysis of telecommunication service expansion, employment and poverty in Nigeria. International Journal of Development and Sustainability, 4(12):1126-1137. ISSN: 2186-8662 – www.isdsnet.com/ijds. ISDS Article ID: IJDS15011401
Akanbi, B. E., Ogunleye, A. G., Akanbi, C. O. and Isah, H. A. (2013), The impact of Nigeria's Telecommunication services expansion on national economic growth. British Journal of Advance Academic Research, 2(1).
Ani, W., Ugwunta, D., Eneje, B. and Okwo, M. (2014). How telecommunication development aids economic growth: evidence from ITU ICT development index (idi) top five countries for African region. International Journal of Business, Economics and Management,1(2),16-28 ISSN(e): 2312-0916 ISSN(p): 2312-5772
Asiegbu, B. C. (2014). Effect of broadband business development on economic growth of Nigeria. Asian academic research journal of multidisciplinary; A Peer Reviewed International Journal of Asian Academic Research Associates, 1(23) ISSN: 2319 - 280
Atsu, F., Agyei, C., Darbi, W. P. and Adjei-Mensah, S. (2013). The impact of telecommunication revenue on economic growth. African Journal of Economic and Management Studies, 5(2):195-208 Emerald Group Publishing Limited 2040-0705.DOI 10.1108/AJEMS-10-2011-0076. www.emeraldinsight.com/2040-0705.htm.
Awoleye, O. M., Okogun, O. A., Ojuloge, B. A., Atoyebi, M. K. and Ojo, B. F. (2012). Socio-economic effect of telecommunication growth in Nigeria: an exploratory study. Interdisciplinary Journal of Contemporary Research in Business ijcrb.webs.com, 4(2): 256-262.
Azubui, C. and Obiefuna, O. (2014). Wireless Communication: The Impact of Gsm on the Economic Lives of the Nigerian Rural Users Journal of Educational and Social Research, 4 (7),79- 87, ISSN 2239-978X ISSN 2240-0524 MCSER Publishing, Rome-Italy.
Bachas, P., P. Gertler, E. Seira and S. Higgins (2016). Banking on Trust: How Debit Cards Help the Poor to Save More, Working Paper, Yale University, 7 April.
Badran, M. F. (2012). The impact of Broadband infrastructure on economic growth in some Arab and Emerging Countries. Middle Eastern and North African Economies, electronic journal,14(1):278-310. Middle East Economic Association and Loyola University Chicago, September, 2012, http://www.luc.edu/orgs/meea
Bankole, F. O. Osei-Bryson, K. M. and Brown, I. (2015). The impacts of telecommunications infrastructure and institutional quality on trade efficiency in Africa. Information Technology for Development, 21(1):29-43, DOI: 10.1080/02681102.2013.874324,
Bassi (2006) in Jenifer Winter, Ryota Ono (eds) The Future Internet: Alternative Visions.
Bossone B., and A. Sarr (2017). A new financial system for poverty reduction and growth, IMF Working Paper, WP/02/178.
Broadband Commission Report (2019). The state of Broadband 2018: Broadband for all.
Broadband Commission Report (2020). Working Together to Connect the Next 1.5 Billion
Brown, R. L., Durbin, J. and Evans, J.M. (1975). Techniques for testing the constancy of regression relations over time. Journal of the Royal Statistical Society, 37: 149-192.
by 2020 Retrieved January 27, 2017 from https://www.broadbandcommission.org
Cevik E. I., Dibooglu S., Kenc T. (2016). Financial stress and economic activity in some emerging Asian economies. Res Int Bus Financ 36:127–139. doi:10.1016/j.ribaf.2015.09.017
Chukwu B. I. and Uzoma I. C. (2014). Impact of Social Media Networks on Consumer Patronage in Nigeria: A study of Jumai and Konga Nigeria Limited; European Journal of Business and Management; Vol.6 No.30 p63-70. Retrieved February 2, 2018 from http://www.eajournals.org/wp-content
Clarke, G. R. and S. Wallsten (2006). Has the Internet Increased Trade? Developed and
CPMI (2015). Digital currencies, Report by the Committee on Payment and Financial Market Infrastructures, Bank for International Settlement, Basle, November.
Dalberg (2013) Impact of Internet Africa. Retrieved April 27, 2018 from www.dalberg.com
Dalberg Reports (2013). Communication in progress. UNGC Communication on Progress 2013. Retrieved September 23, 2018 from https://www.unglobalcompact.org
David, O. O. (2013). The Effect of Investment in Telecommunication on Economic Growth: Evidence from Nigeria International Journal of Advancements in Research & Technology, 2(1), ISSN 2278-7763.
Developing Country Evidence; Economic Inquiry 44(3):465-484 Retrieved April 29, 2016 from https://www.researchgate.net/publication/5211612 DOI: 10.1093/ei/cbj026
Eke, C., I., Zakare, S. and Yahaya, O. A. (2016). The analysis of the relationship between telecommunication, foreign direct investment and economic growth in Nigeria: 1980 – 2017. Seminal paper presented at the department of economics Nigerian Defence Academy, Kaduna.
European Central Bank (2014) Card payments in Europe - a renewed focus on SEPA for cards.
Futter, F. (2011). Telecoms Infrastructure Spend: What are the Risks and Opportunities to Telecoms Investment in Africa? BMI-Tech Knowledge Communications Handbook, pp 26-32
Gold, K. L. (2010). Aggregate analysis of the impacts of telecommunication infrastructural development on Nigerian economy. Proceedings of the 1st international technology, education and environment conference(c) African society for scientific research (ASSR); Co-Published human resource management academic research society, 1(1):213-223
Greene, W. H. (2003). Econometric Analysis 5th Edition Pearson Education Inc, India
GSMA (2016). Safeguarding Mobile Money: How providers and regulators can ensure that customer funds are protected, January.
Haider, H. and Sharif, A. A. (2016). Impact of teledensity on economic growth: A comparative analysis of south Asian countries. International Journal of Economics and Empirical Research. 4(11), 571-581.
Harris, R. and Sollis, R. (2003). Applied Time Series Modelling and Forecasting, Wiley, West Sussex.
IMF (2016). Virtual Currencies and Beyond: Initial Considerations”, IMF Staff Discussion Note, SDN/16/03.
International Telecommunication Union (2008), Telecommunications Development Report Geneva: ITU
International Telecommunication Union (2016), Telecommunications Development Report Geneva: ITU
International Telecommunication Union (2017), Telecommunications Development Report Geneva: ITU
International Telecommunication Union (2018). Measuring Information society. Retrieved January 2, 2019 from https://www.itu.int/dms_pub
International Telecommunication Union (2019). The State of Broadband 2019 Broadband as a foundation for Sustainable Development. Retrieved January 23, 2020 from https://www.itu.int/dms_pub/itu-s/opb/pol/s-pol-broadband.20-2019-pdf-e.pdf
Internet Association Report (2019). Measuring the US Internet Sector. Retrieved March 13, 2020 from https://internetassociation.org/publications
James, C. (2019). What is the Consumer Price Index (CPI)? Trading & Investing Content at Investopedia and former Head of Research at Gain Capital (NYSE: GCAP) https://www.investopedia.com/contributors/101529/.
Jha, P. & Kaleja, M. (2008). Telecommunication and Economic Growth in India. Retrieved September 2, 2016 from www.impactjournals.us/download.php
Jhingan, M. L. (2010). Economic Development, New Delhi, Vrinda Publications (P) Ltd
Johansen, S. (1991). Estimation and Hypothesis Testing of Cointegration Vectors in Gaussian Vector Autoregressive Models, Econometrica, 59(),1551–1580.
Johansen, S. and Juselius, K. (1990). Maximum Likelihood Estimation and Inference on Cointegration—with Applications to the Demand for Money, Oxford Bulletin of Economics and Statistics, 52, (1),169–210.
Kawaljeet, K. and Neena, M. (2014), Telecommunications and economic growth in India: causality analysis. International Journal of Research in Business Management (IJRBM) ISSN(E), 2(5),31-46.
Keynes, John Maynard. (1936). The General Theory of Employment, Interest, and Money. Quarterly Journal of Economics, 51(2):209–223.
Kim, H. (1999). Economic Capacity Utilization and its Determinants: Theory and Evidence. Review of Industrial Organization, 15(4), 321-339. Retrieved April 8, 2020, from www.jstor.org/stable/41798892
Kozma (2005). An Effective Use of ICT For Education & Learning. Retrieved May 23, 2017 from www.nyu.edu/classes/keefer.pdf
Kuofie, M., Boateng, O., Yellen, R., & Garsombke, P. (2011). Mobile phone providers and economic development in Ghana. Journal of Information Technology & Economic Development, 2(2), 17-29. Retrieved from http://www.gsmi-ijgb.com
Lee, S. H., Levendiz, J and Gutierrez, L. (2009). Telecommunications and Economic Growth: An Empirical Analysis of Sub-Saharan Africa. Universidad delRosario. Facultad de Economia. Serie Documentos de Trabajo Mayo, 64(1),
Madon, S. (2000). The Internet and socio-economic development: exploring the interaction. Information Technology & People, 13(2), 85-101.
Magaji A. and Eke C. (2013). An economic assessment of the impact of information and Communication. 23(2): 78-90. Available at www.academicjournals.org
Mamoun, M. M. and Talib, M. W. (2017). The Impact of Telecom Infrastructure on the Economic Growth: The Case of Oil-producing and Non-Oil Producing Arab Countries. International Journal of Economics and Financial Issues, 7(3), 423-428 ISSN: 2146-4138 www.econjournals.com.
Mankiw, N. G. (2011). Measure of Inflation. Principles of Economics (6th ed.). Cengage Learning. ISBN 978-0-538-45305-9
McCloskey (2013). in Karm Veer Arya, Robin Singh Bhadoria (eds) Emerging Wireless Communication and Network Technologies. Springer Books
McKinsey Global Institute (2011). Internet matters: The Net’s sweeping impact on growth, jobs, and prosperity. May 2011.
McKinsey Global Institute (2013). Lions go digital: The Internet’s transformative potential in Africa. November 2013.
Meeker, M. (2014). Internet Trends 2014 - Code Conference. Kleiner Perkins Caufield Byers.
Mevel, S., deAlba, J. M. and Oulmane, N. (2016). Optimal regional trade–integration schemes in North Africa: Toward a pro–industrialization policy. Journal of Economic Integration, 31(3): 569–608. https://www.jstor.org/stable/43868321?seq=1#page_scan_tab_contents
Mieseigha E. G., Ogbodo U. K. (2013). An empirical analysis of the benefits of cashless economy on Nigeria’ s economic development. J Financial Accounting 4:11–16
Mohammed, N. I. and Adeniji, S. O. (2015). Telecommunication Infrastructure and Economic Growth in Nigeria: New Evidence From ARDL Bound Testing Approach to Cointegration. Journal of Economics and Sustainable Development, 6(24),151 - 162 ISSN 2222-1700 (Paper) ISSN 2222-2855 (Online) www.iiste.org
Mohammed, Y.; Okoroafor, O. K. and Awe, E. O. (2015). Analysis of the relationship between inflation, unemployment and economic growth in Nigeria: 1987-2012. Applied economics and finance, 2(3); August2015 ISSN 2332-7294 E-ISSN 2332-7308 Published by Redfame Publishing URL: http://aef.redfame.com
Naz, A., Ahmad, N. and Naveed, A. (2017). Wage convergence across European regions: Do international borders matter? Journal of Economic Integration, 32(1): 35–64. https://www.jstor.org/stable/44133857?seq=1#page_scan_tab_contents
Nguku, A. (2009). Nursing the Future: e-learning and clinical care, in Kenya Policy Voices Series. London: Africa Research Institute.
Nwakanma, I. C., Asiegbu, B. C., Eze, U. F. and Dibia, O. A. (2014). A critical appraisal of the telecommunications industry and economic growth in Nigeria. World Journal of Globalization and Technology Development, 1(1),1-18 Available online at http://wjgtd.com/
Odior, E. S. and F. B. Banuso (2013). Cashless Banking in Nigeria: Challenges, Benefits and Policy Implications European Scientific Journal Vol 8, No 12. Retrieved January 12, 2020 from https://eujournal.org/index.php/esj/article/view/192
Odior, E. S., & Banuso, F. B. (2012). Cashless Banking in Nigeria: Challenges, Benefits and
On Device Research. (2014). Survey of mobile internet users.
Onakoya, B. O., Tella S. A. and Osoba, M. A. (2012). Investment in Telecommunications Infrastructure and Economic Growth in Nigeria: A Multivariate Approach. British Journal of Economics, Management & Trade 2(4): 309-326.or www.worldbank.org/data.
Osotimehin, K. O., Akinkoye, E. Y. Olasanmi, O. O. (2010). The effects of investment in telecommunications infrastructure on economic growth in Nigeria (1992-2007). Oxford Business and Economics Conference Program
Osuagwu, P. (2017). Why Nigeria’s over $80b telecom sector needs more investors. Vanguard New Paper Online Publication August 9, 2017. Read more at: https://www.vanguardngr.com/2017/08/nigerias-80b-telecom-sector-needs-investors/
Pesaran, M. H., Shin, Y. and Smith, R. J. (2001). Bounds Testing Approaches to the Analysis of Level Relationships, Journal of Applied Econometrics, 16,(3), 289 – 326.
Policy Implications. European Scientific Journal, 8(12), 289-316.
Raman, K. (2015). Basic concepts in telecommunications systems. Journal of Telecommunications System & Management, 4(1) DOI: 10.4172/2167-0919.1000e116.
Retrieved January 27, 2017 from https://www.broadbandcommission.org
Romm, C. and Clarke, R. J. (1995). Virtual communities’ research themes: A preliminary draft for a comprehensive model, Australian Conference in Information Systems’95, Perth, Australia, 57-66
Sabiu, B. S. and Sa’ada, A. A. (2019). Analysis of Electricity Consumption and Economic Growth in Nigeria: An Ardl Approach. IOSR Journal of Economics and Finance (IOSR-JEF) 10,(1), 24-30 e-ISSN: 2321-5933, p-ISSN: 2321-5925. www.iosrjournals.org
Sabiu, B. S. and Sa’ada, A. A. (2019). Analysis of Electricity Consumption and Economic Growth in Nigeria: An ARDL Approach. IOSR Journal of Economics and Finance (IOSR-JEF)10,(1),24-30 e-ISSN:2321-5933, p-ISSN:2321-5925. www.iosrjournals.org
Sajjad, H. S. (2017). Telecommunication and its impact over the economic development of SAARC countries International Research Journal of Interdisciplinary & Multidisciplinary Studies (IRJIMS) A Peer-Reviewed Monthly Research Journal,3(I):114-124 ISSN: 2394-7969 (Online), ISSN: 2394-7950 (Print) Website: http://www.irjims.com
Schuppan, T. (2009) E-Government in developing countries: Experiences from sub-Saharan Africa. Government Information Quarterly 26 (2009) 118–127. Retrieved November 15, 2019 from http://www.ifg.cc/_pdf/GIQ_E-Government_in_developing_countries.pdf
Shuai Han, Liang Ye, Weixiao Meng (2019) Artificial Intelligence for communication and networks. EAI International Conference, AICON 2019, Harbin, China, May 25–26, 2019, Proceedings
Springer Books
Sproull, L., and Faraj, S. (1997). Atheism, sex, and databases: the net as a social technology, in Culture of the Internet Ed. Kiesler, S., Lawrence Eribaum Associates, Mahwah, New Jersey.
Sridhar, K and Sridhar, V. (2014). Telecommunications Infrastructure and Economic Growth: Evidence from Developing Countries. National Institute of Public Finance and Policy, Working Papers. 7.
Sulaiman, C. (2013). Assessing the Impact of GSM Sub-Telecommunication Sector on the Teledensity Rate and Economic Growth in Nigeria: Time Series Analysis. International Journal of Business and Social Science, 4(3)
Tahir, M., Amjid, A., Noureen, A., Muhammad, I., Sadia, Q., Hafiz Zafar, N., Nasir, A and Iram, S. (2014). Determinants of unemployment in Pakistan: A statistical study. International Journal of Asian Social Science,4(12): 1163-1175. ISSN(e): 2224-4441/ISSN(p): 2226-5139.
Tee, H., Ong, H. (2016) Cashless payment and economic growth. Financial Innovation 2, 4. https://doi.org/10.1186/s40854-016-0023-z
Uwakaeme, S. O. (2015). Economic growth in Nigeria: An empirical investigation of determinants and causal relationship (1980 – 2012). American journal of economics, 5(1): 9-20p-ISSN:2166-4951 e-ISSN:2166-496X doi:10.5923/j.economics.20150501.02
Wainaina, M. C. (2012). Telecommunication Infrastructure and Economic Growth: A Case of Sub-Saharan Africa (1988-2010). A Thesis submitted to the Kenyatta University.
Wellman, B., (1997). An electronic group is virtually a social network, in Culture and the Internet, Ed. Kiesler, S., Lawrence Eribaum Associates, Mahwah, New Jersey
Wilde, W. D. and Swatman, P. A., (1997), Towards Virtual Communities in Rural Australia, International Journal of Electronic Commerce, 2(1).
World Bank (2018). World Development Indicators, Washington D.C. Data: Agriculture, value added (constant 2010 USD). Available online: http://data.worldbank.org/indicator
World Bank. (2017). Telephone mobile subscriber. World Bank Annual Report 2017 Washington, DC: World Bank. doi: 10.1596/978-1-4648-1119-7. License: Creative Commons Attribution–NonCommercial–NoDerivatives 3.0IGO (CC BY-NC-ND 3.0 IGO).
World Factbook, U.S. Central Intelligence Agency. (2014). Retrieved on 21 February 2014.
Zahra, K. Azim, P. and Mahmoud, A. (2010). Telecommunication Infrastructure Development and Economic Growth: A panel Data Approach. Journal of economics literature,48(3):883-896.
Zhong X., Zhang, C., Shi, R. and Jiang H. (2019). Electricity consumption and economic growth nexus in China: an autoregressive distributed lag approach. Environment Science Pollution Research International; 26(14):14627-14637 doi: 10.1007/s11356-019-04699-w. Epub 2019 Mar 15.
DOI: http://dx.doi.org/10.46827/ejefr.v0i0.810
Refbacks
- There are currently no refbacks.
Copyright (c) 2020 Chukwuemeka Ifegwu Eke, Augustine Olorunfemi Obalemo, Grace Chinyere Ezeigwe
This work is licensed under a Creative Commons Attribution 4.0 International License.
The research works published in this journal are free to be accessed. They can be shared (copied and redistributed in any medium or format) and\or adapted (remixed, transformed, and built upon the material for any purpose, commercially and\or not commercially) under the following terms: attribution (appropriate credit must be given indicating original authors, research work name and publication name mentioning if changes were made) and without adding additional restrictions (without restricting others from doing anything the actual license permits). Authors retain the full copyright of their published research works and cannot revoke these freedoms as long as the license terms are followed.
Copyright © 2016 - 2023. European Journal of Economic and Financial Research (ISSN 2501-9430) is a registered trademark of Open Access Publishing Group. All rights reserved.
This journal is a serial publication uniquely identified by an International Standard Serial Number (ISSN) serial number certificate issued by Romanian National Library. All the research works are uniquely identified by a CrossRef DOI digital object identifier supplied by indexing and repository platforms. All the research works published on this journal are meeting the Open Access Publishing requirements and standards formulated by Budapest Open Access Initiative (2002), the Bethesda Statement on Open Access Publishing (2003) and Berlin Declaration on Open Access to Knowledge in the Sciences and Humanities (2003) and can be freely accessed, shared, modified, distributed and used in educational, commercial and non-commercial purposes under a Creative Commons Attribution 4.0 International License. Copyrights of the published research works are retained by authors.
