The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries

Given the importance of international trade, we empirically investigate the impact of information and communication technologies on the exports, imports, and total trade of five service items by using a panel data for 19 MENA countries from 2005 to 2019. Unlike most previous studies, we use the Info...

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Main Authors: Kamel Touati, Ahmed Aljazea
Format: Article
Language:English
Published: MDPI AG 2023-11-01
Series:Economies
Subjects:
Online Access:https://www.mdpi.com/2227-7099/11/11/270
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author Kamel Touati
Ahmed Aljazea
author_facet Kamel Touati
Ahmed Aljazea
author_sort Kamel Touati
collection DOAJ
description Given the importance of international trade, we empirically investigate the impact of information and communication technologies on the exports, imports, and total trade of five service items by using a panel data for 19 MENA countries from 2005 to 2019. Unlike most previous studies, we use the Information and Communication Technologies Development Index, which is a composite index that combines 11 indicators that include the access, use, and skill aspects of the technology. The results are as follows: the Information and Communication Technologies Development Index has a negative and statistically significant effect on exports of information technology services, and a positive and statistically significant effect on imports and total trade in financial services. Furthermore, we found also that the Information and Communication Technologies access sub-index has a significant effect on total trade in information technology services and transport. For the Information and Communication Technologies use sub-index, its effect on imports of travel services and exports of both travel and information technology services is significant. It also has a significant positive effect on total trade in travel and information technology services. As for the Information and Communication Technologies skills sub-index, the results show that it has significant positive effects on total trade in IT services and travel, and a negative significant effect on transport. These results provide interesting policy insights for information and communication technologies development and the growth of services trade for policy makers.
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spelling doaj.art-d4ab72cfbeac4cc38c5ec2013c1987f22023-11-24T14:38:16ZengMDPI AGEconomies2227-70992023-11-01111127010.3390/economies11110270The Impact of Information and Communication Technologies on International Trade: The Case of MENA CountriesKamel Touati0Ahmed Aljazea1Department of Business Administration, College of Administrative Science, Najran University, Najran 1988, Saudi ArabiaDepartment of Business Administration, College of Administrative Science, Najran University, Najran 1988, Saudi ArabiaGiven the importance of international trade, we empirically investigate the impact of information and communication technologies on the exports, imports, and total trade of five service items by using a panel data for 19 MENA countries from 2005 to 2019. Unlike most previous studies, we use the Information and Communication Technologies Development Index, which is a composite index that combines 11 indicators that include the access, use, and skill aspects of the technology. The results are as follows: the Information and Communication Technologies Development Index has a negative and statistically significant effect on exports of information technology services, and a positive and statistically significant effect on imports and total trade in financial services. Furthermore, we found also that the Information and Communication Technologies access sub-index has a significant effect on total trade in information technology services and transport. For the Information and Communication Technologies use sub-index, its effect on imports of travel services and exports of both travel and information technology services is significant. It also has a significant positive effect on total trade in travel and information technology services. As for the Information and Communication Technologies skills sub-index, the results show that it has significant positive effects on total trade in IT services and travel, and a negative significant effect on transport. These results provide interesting policy insights for information and communication technologies development and the growth of services trade for policy makers.https://www.mdpi.com/2227-7099/11/11/270system generalized method of moments (GMM-S)information and communication technologies (ICTs)e-commerceinternational trade
spellingShingle Kamel Touati
Ahmed Aljazea
The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries
Economies
system generalized method of moments (GMM-S)
information and communication technologies (ICTs)
e-commerce
international trade
title The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries
title_full The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries
title_fullStr The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries
title_full_unstemmed The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries
title_short The Impact of Information and Communication Technologies on International Trade: The Case of MENA Countries
title_sort impact of information and communication technologies on international trade the case of mena countries
topic system generalized method of moments (GMM-S)
information and communication technologies (ICTs)
e-commerce
international trade
url https://www.mdpi.com/2227-7099/11/11/270
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