Information and Communication Technology-Enabled Modern Services Export Performances of Asian Economies

Asian Development Review, vol. 33, no. 1, 2016

27 Pages Posted: 9 Apr 2016

See all articles by Shahbaz Nasir

Shahbaz Nasir

Asian Development Bank

Kaliappa Kalirajan

Australian National University - Crawford School of Public Policy

Date Written: April 3, 2016

Abstract

Advancements in information and communication technology (ICT) have expanded the possibilities for trade in modern services. Many emerging and developed Asian economies are increasingly participating in these new trade activities. This study examines the export performances of emerging and developed Asian economies in selected modern services — computer and information, business and professional, and telecommunications — using a stochastic frontier gravity model. Estimation results show that the performances of emerging economies in South Asia and the Association of Southeast Asian Nations (ASEAN), in terms of realization of export potential, are considerably weaker than those of developed economies in North America and Europe. The results show that the number of graduates and the quality of ICT infrastructure in emerging economies are among the key factors in realizing services export potential. These findings suggest that emerging economies need to remove behind-the-border constraints and adopt advanced technologies to catch up with high-performing developed economies.

Keywords: Asia, Europe, North America, service exports, stochastic frontier gravity model

JEL Classification: C24, F14

Suggested Citation

Nasir, Shahbaz and Kalirajan, Kaliappa P., Information and Communication Technology-Enabled Modern Services Export Performances of Asian Economies (April 3, 2016). Asian Development Review, vol. 33, no. 1, 2016, Available at SSRN: https://ssrn.com/abstract=2759539

Shahbaz Nasir (Contact Author)

Asian Development Bank ( email )

6 ADB Avenue, Mandaluyong City 1550
Metro Manila
Philippines

Kaliappa P. Kalirajan

Australian National University - Crawford School of Public Policy ( email )

ANU College of Asia and the Pacific
J.G. Crawford Building, #132, Lennox Crossing
Canberra, Australian Capital Territory 0200
Australia
+61261258258 (Phone)

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