Investigating effects of ICT infrastructure on economic growth: data flow perspective based on China’s evidence

    Rui Liu Info
    Jingfeng Yuan Info
    Bing Zhu Info
    Lei Zhang Info
    Bingsheng Liu Info
DOI: https://doi.org/10.3846/tede.2026.26229

Abstract

This study employs a mediating effect model and the Generalized Method of Moments (GMM) approach to examine the direct effect of ICT on the economy and the mediating role of data flow in the ICT – economic growth nexus. The results indicate that ICT significantly enhances data flow intensity, which in turn promotes economic growth. Moreover, both the direct effect of ICT and the mediating role of data flow are more pronounced in developed regions compared to underdeveloped areas. Further analysis shows that with the implementation of the policy, the mediating effect of data flow shifted from being insignificant (2006–2010) to significant (2011–2019). This study contributes to the understanding of the digital divide, highlighting potential drivers such as disparities in ICT infrastructure and data flow inequality. The government should develop tailored ICT development policies based on the region’s economic level to fully harness the benefits of digitalization.

First published online 18 May 2026

Keywords:

ICT infrastructure, economic growth, mediation effect, regional disparity, digital divide

How to Cite

Liu, R., Yuan, J., Zhu, B., Zhang, L., & Liu, B. (2026). Investigating effects of ICT infrastructure on economic growth: data flow perspective based on China’s evidence. Technological and Economic Development of Economy, 1-32. https://doi.org/10.3846/tede.2026.26229

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May 18, 2026
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2026-05-18

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Liu, R., Yuan, J., Zhu, B., Zhang, L., & Liu, B. (2026). Investigating effects of ICT infrastructure on economic growth: data flow perspective based on China’s evidence. Technological and Economic Development of Economy, 1-32. https://doi.org/10.3846/tede.2026.26229

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