The Economic Impact of Internet Connectivity in Developing Countries
Firms, workers, and consumers in developing countries are increasingly connected to each other and to the rest of the world through the internet. Can this connectivity transform poor economies, as technology optimists hope, or are there more deeply rooted barriers to economic development? Research on the topic is growing rapidly. In this article we provide an overview of existing evidence from 153 studies on the extent to which, and how, internet connectivity affects economic development. Not surprisingly, estimates vary widely with the context, particular outcome, and form of internet studied. Overall, the literature points toward sizable economic impacts in many—though not all—settings.
Authors
- Jonas Hjort (ORCID: https://orcid.org/0009-0005-9466-3925)
- Lin Tian (ORCID: https://orcid.org/0000-0002-4399-5293)
Institutions
- University of Oslo (NO)
- Centre for Economic Policy Research (GB)
- INSEAD (SG)
- University College London (GB)
- London School of Economics and Political Science (GB)
Publication Details
- Journal
- Annual Review of Economics
- Published
- 2025-03-07
- DOI
- https://doi.org/10.1146/annurev-economics-081224-102352
- Citations
- 11
- Primary Topic
- ICT Impact and Policies
- Type
- article
- Field-Weighted Citation Impact
- 11.35