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An Empirical Study on the Relationship Between Economic Growth and E-Commerce
Abstract
Electronic commerce (e-commerce) has started to become an important explanatory component of economic growth via innovations in information technology in recent years. Studies within this framework show that countries that invest more in e-commerce have reached higher growth rates. In this regard, this chapter has examined the relationship between e-commerce represented by two sub-components as fixed and mobile-cellular telephone subscriptions and economic growth for chosen countries (BRICS and Turkey) with 2000-2016 annual data by using Panel VAR, impulse response analysis, and variance decomposition. Results of the study show that economic growth and e-commerce are related. These results suggest that countries that want to increase their economic growth rate should focus on policies to increase e-commerce volume.
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