MODERN ECONOMY, ELECTRONIC FINANCIAL MARKETS AND ECONOMIC GROWTH IN SELECTED COUNTRIES

Abstract

In recent years, information and communication technology (ICT) as a characteristic of modern economies, has developed greatly and gradually has affected various economic sectors over the world. Using ICT, more and faster access to accurate information necessary for activity in financial markets has been provided. Developed financial markets are essential for the emergence of the modern economy and also Internet has significant influence on financial services through high market potential. In this study, the effect of electronic financial markets on economic growth, in 29 countries, during the period 2003-2008 was estimated, using panel data and Generalized Methods of Moments (GMM). The results indicate positive and significant effects of ICT and financial sector development on economic growth in studied countries.

Keywords

• ICT, Electronic Financial Markets, Economic Growth.

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