How information and communication technology affect international trade: a comparative analysis of BRICS countries

This study analyzed how information and communication technology (ICT) influences international trade volume, and it undertook a comparative analysis of BRICS countries using panel data from the 2000 to 2016 period. The findings showed that (1) the effect of ICT was more positive on exports than imports, (2) the higher the ICT levels in the value chain were, the less effective they simultaneously were on both exports and imports, (3) the effect of ICT levels on trade increased over time, and (4) ICT improvement levels have more positive effects on trade in labor-intensive countries than on resources-intensives BRICS countries. To improve their export volume, BRICS countries would benefit from increasing their use of fixed-broadband and the internet.