System GMM-based Model for Monitoring Joint Impact of ICT-infrastructure, Financial Development, and Trade-openness on Economic-growth

Abstract This study has analyzed the joint impact of information communications technology (ICT) Infrastructure, financial development (FD), and trade openness (TO) on economic growth (EG). We have used the data from 85 countries (including 27 low-income and 58 high-income countries). In this sample, we have collected the data from the year 2000-2019. We have framed hypotheses for samples and applied OLS, fixed effect regression (FER), and GMM method. Our results provide evidence that (a) ICT infrastructure is a significant and positive interpreter of economic growth, (b) Individual consideration of trade openness and financial development is insignificant and negative for both groups of countries, ICT infrastructure requires more financial development and trade openness in low-income countries (LICs) in comparison to high-income countries(HICs), (c) ICT infrastructure-financial development-trade openness nexus differ significantly for both groups of countries. Our study acquiesces that variables are grave drivers of any economy and comprehensive growth in low-income countries. In this work, we have also discussed policy implications.