Does information and communication technology really affect human development? An empirical analysis
Positive effect of information and communication technology (ICT) on human development (HD) is not guaranteed simply by the availability of technology; this gap is especially pronounced for developing countries. Using the Capability Approach framework, we collected data from 115 countries for 2019. We tested a sample to determine stable groups of countries and split the dataset into two groups, which homogeneity differs significantly. Finally, we estimated the hypotheses predicting the influence of ICT on HD for both groups using a path modelling technique. Our results confirm the significant positive contribution of ICT on all kinds of conversion factors (CFs), except social ones in developing countries. However, the way to transform capabilities into functionings differs. In developing countries, ICT contributes to HD at the individual level only. For developed countries, ICT contributes more to social CFs and less to personal ones.