The influence of ICT diffusion and globalization on the quality of governance: A study using panel data from ASEAN countries

Abstract

Information and Communication Technology (ICT) supports the sharing of information to improve the Quality of Governance (QoG). Many studies found a relationship between ICT diffusion and globalization and between ICT diffusion and the Quality of Governance. This study investigates the influence of both ICT diffusion and globalization in explaining the country level QoG while incorporating gross domestic product (GDP) per capita, human capital, and government expenditure in the context of the ASEAN (Association of Southeast Asian Nation) region. To this end, we used Panel Autoregressive Distributed Lags (ARDL) to analyze panel data from 1984 to 2017. In contrast to research conducted in other countries, our research shows that the impact of ICT diffusion on QoG is not significant in the ASEAN region. The findings can be explained by a lack of coherent ICT-strategy among the countries and a lack of institutional mechanisms to ensure ICT efforts’ effectiveness. However, the relationship between globalization and QoG is positive and significant.