| Lower cost solutions can be deployed
more widely within a given budget and
therefore provide greater productivity
benefit. As an example of how improvements
in communication impacts productivity,
a recent study by London Business School
found that, while mobile phones have
become indispensable in the rich world,
they are even more useful in the developing
world, where the availability of other
forms of communication—roads,
postal systems, or fixed-line phones
is often limited. The study estimates
that in a typical developing country,
a rise of ten mobile phones per 100
people boosts GDP growth by 0.6 percentage
points. |
