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The Impact of ICT Development on Health Outcomes in Africa: Does Economic Freedom Matter?

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Abstract

This study aims to (i) examine the role of economic freedom in ICT diffusion in Africa and (ii) examine how economic freedom complements ICT development to influence health outcomes in thirty-five (35) African countries for the period 2000–2016. Health outcome is measured by the under-five mortality, an ICT development index is constructed, and the Index of Economic Freedom of the Heritage Foundation is used. First, the results show that economic freedom is necessary for ICT diffusion, but the mechanism generating the diffusion effect is not valid beyond 2 consecutive years. Second, the net effect on under-five mortality is negative from the complementarity between economic freedom and ICT development. Overall, the results suggest that economic freedom matters in the relationship between ICT development and health outcomes by playing a critical role in enhancing ICT diffusion.

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Notes

  1. Goal 4: reduce mortality of children under 5 years of age; goal 5: improve maternal health; goal 6: combat HIV/AIDS, malaria, and other diseases.

  2. Collaborative Africa Budget Reform Initiative

  3. Of the USD 16.7 billion health expenditure in sub-Saharan Africa in 2005, approximately 50% came from the private sector (World Bank 2008).

  4. According to the 2019 GSM Association (GSMA) Mobile economy report (GSMA 2019), at the end of 2018, 4G networks accounted for 7% of mobile connections in sub-Saharan Africa, compared to the global average of 44%.

  5. In this paper, ICT diffusion and ICT development are used interchangeably.

  6. This is a machine or application connected to the Internet with an Internet Protocol (IP) address.

  7. E-health is the use of information and communication technologies (ICTs) for health (WHO 2006, p. vii).

  8. These countries are: Bahrain, United Arab Emirates, Kuwait, Oman, Jordan, Lebanon, Qatar, Saudi Arabia, Yemen, Syria, and Iran.

  9. \( \mathrm{ICT}=\frac{X-{X}_{\mathrm{min}}}{X_{\mathrm{max}}-{X}_{\mathrm{min}}}\times 100 \) where X is the index computed with the principal component analysis.

  10. We acknowledge the data limitations, particularly where technological revolutions in Africa are constantly evolving and, over the last four years, a large number of new technologies and products have had a tremendous impact on people’s lifestyle and the whole society. But despite the fact that the study period ends in 2016, the conclusions of the analysis have guiding significance for the current social and economic development which are discussed in this section. These discussions also highlight the actual value of the results. Although the continent is making considerable efforts to overcome the challenges that characterize it, between 2016 and today, most of these challenges are still relevant. So, the new ideas developed in this paper can still be embodied in the timeliness.

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Correspondence to Jeffrey Kouton.

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Appendices

Appendix 1

Fig. 4
figure 4

2020 Index of Economic Freedom. Source: Heritage Foundation 2020

Fig. 5
figure 5

Trend in the Index of Economic Freedom from 2000 to 2020. Source: authors’ representation based on Heritage Foundation data, 2020

Appendix 2

Fig. 6
figure 6

ICT Development Index from 2000 to 2016. Source: authors’ calculations

Appendix 3

Fig. 7
figure 7

Evolution of the mobile subscriptions from 2000 to 2016. Source: authors’ representation based on WDI data

Fig. 8
figure 8

Evolution of the number of individuals with access to Internet from 2000 to 2016. Source: authors’ representation based on WDI data

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Kouton, J., Bétila, R.R. & Lawin, M. The Impact of ICT Development on Health Outcomes in Africa: Does Economic Freedom Matter?. J Knowl Econ 12, 1830–1869 (2021). https://doi.org/10.1007/s13132-020-00689-3

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  • DOI: https://doi.org/10.1007/s13132-020-00689-3

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