The Role of ICT in ASEAN-5’s Services Exports: A Panel Study

  • Beng Ann Tee Universiti Kebangsaan Malaysia
  • Siew Yean Tham ISEAS-Yusof Ishak Institute
  • Andrew Jia Yi Kam Universiti Kebangsaan Malaysia

Abstract

ICT intensive services were found to contribute to the service export growth in developed countries. However, empirical work on the role of ICT in ASEAN’s services export is sparse due mainly to the scarcity of bilateral services trade data. This study uses mirror data from the ASEAN-5’s trading partners from 2000 to 2012 for examining the impact of ICT on the ASEAN-5’s services export. A set of constructed ICT indicators are found to have significant positive network effect on the ASEAN-5’s services export. Thus, the higher the ICT development level in both trading partner countries, the higher their bilateral services exports with each other. But, the positive impact of ICT on the ASEAN-5’s trade in services can be offset by the presence of trade costs. Therefore, policies enhancing trade facilitation should be used in tandem with the development of ICT in order to promote the ASEAN-5’s services export.

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Author Biographies

Beng Ann Tee, Universiti Kebangsaan Malaysia

Institute of Malaysian and International Studies

Andrew Jia Yi Kam, Universiti Kebangsaan Malaysia

Institute  of  Malaysian  and  International  Studies

Published
2020-06-13
How to Cite
TEE, Beng Ann; THAM, Siew Yean; KAM, Andrew Jia Yi. The Role of ICT in ASEAN-5’s Services Exports: A Panel Study. Malaysian Journal of Economic Studies, [S.l.], v. 57, n. 1, p. 1-19, june 2020. ISSN 1511-4554. Available at: <https://mjes.um.edu.my/article/view/24326>. Date accessed: 06 july 2020. doi: https://doi.org/10.22452/MJES.vol57no1.1.
Section
Articles