<p>This study examines the association of digital growth on human development in eight Organization for Economic Co-Operation (OECD) countries from 2015 to 2023, with particular attention to how this relationship changed after the COVID-19 pandemic. Using a balanced panel dataset and a two-way fixed-effects framework, complemented by a Difference-in-Differences (DiD) design, the analysis assesses whether internet use, economic conditions, and institutional quality shape the Human Development Index (HDI) over time. Baseline fixed-effects results indicate that internet use had no significant association with HDI prior to COVID-19. However, the DiD estimates reveal a substantial and statistically significant shift after 2020: digital penetration exhibit association with HDI in the post-pandemic period, while traditional predictors such as GDP per capita lose significance. Robustness checks including alternative digital indicators and a placebo test confirm the stability of these results. Overall, the findings show that COVID-19 elevated the developmental importance of digital access, with countries exhibiting higher internet use demonstrating greater resilience in human development outcomes. Policy implications emphasize the need for OECD countries to integrate digital infrastructure, digital skills, and inclusive connectivity into broader human development strategies.</p>

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The impact of digital growth on human development in selected OECD countries

  • Oluwaseun Samuel Oduniyi,
  • Derick Adu

摘要

This study examines the association of digital growth on human development in eight Organization for Economic Co-Operation (OECD) countries from 2015 to 2023, with particular attention to how this relationship changed after the COVID-19 pandemic. Using a balanced panel dataset and a two-way fixed-effects framework, complemented by a Difference-in-Differences (DiD) design, the analysis assesses whether internet use, economic conditions, and institutional quality shape the Human Development Index (HDI) over time. Baseline fixed-effects results indicate that internet use had no significant association with HDI prior to COVID-19. However, the DiD estimates reveal a substantial and statistically significant shift after 2020: digital penetration exhibit association with HDI in the post-pandemic period, while traditional predictors such as GDP per capita lose significance. Robustness checks including alternative digital indicators and a placebo test confirm the stability of these results. Overall, the findings show that COVID-19 elevated the developmental importance of digital access, with countries exhibiting higher internet use demonstrating greater resilience in human development outcomes. Policy implications emphasize the need for OECD countries to integrate digital infrastructure, digital skills, and inclusive connectivity into broader human development strategies.