Working Paper
Firms, workers, and consumers in developing countries are increasingly connected to each
other and the rest of the world through the internet. Can this connectivity transform poor
economies, as techno-optimists hope, or are there more deeply rooted barriers to economic
development?
Research on the topic is growing rapidly. In this article the authors provide an overview
of existing evidence 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 towards sizeable economic impacts in many—though not all— settings.
Faculty
Assistant Professor of Economics
