DOI: 10.3897/brics-econ.7.e172739

Authors: Bekzod Allamuratov, Shah Mir Mowahed

Abstract: Digital services trade (DST) has emerged as an important driver for economic growth and development, which has attracted increasing attention from governments, policymakers, scholars, and industry stakeholders. This paper examines the impact of DST on economic growth in 87 developing countries from 2005 to 2023. Using advanced ML methods, specifically the CrossFit Partialing-out LASSO linear regression (CrossFit POLR), the study shows that the DST has a positive and statistically significant impact on GDP. The robustness of these findings is further validated by Bayesian Model Averaging, Driscoll-Kraay standard error correction, and alternative DST proxy variables. The mechanism analysis reveals that employment and technological innovation serve as important mediators in the relationship between DST and GDP. The heterogeneity analysis indicates that low-income, upper-middle-income and high-income developing economies, as well as countries with strong digital infrastructure, derive greater economic benefits from DST compared to lower-middle-income countries and those with weaker digital infrastructure. Based on these empirical findings, the study proposes policy recommendations aimed at enhancing the developmental benefits associated with DST in developing countries.

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DOI: 10.3897/brics-econ.4.e101915

Authors: Liudmila Chikhun, Igor Romanov

Abstract: The paper examines the key economic and institutional factors that determine the participation of developing countries in global value chains (GVCs). To assess the impact of a number of factors on the foreign value added in export of developing countries, an econometric model for 84 countries for the period 1999-2018 is used. Obtained results indicate that developing countries with higher per capita income, more developed manufacturing industry, more open economy, less administrative burden on business and those actively engaged in foreign direct investment (FDI) activities demonstrate higher upward participation in the GVCs. It is also shown that trade liberalization and investments in foreign production strengthen the positions of developing countries in the GVCs in the long term. Based on these findings, recommendations are formulated for the state policy of these countries in order to accelerate their integration into more complex stages of the GVCs.

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DOI: 10.3897/brics-econ.3.e97857

Authors: Ekaterina Buzulukova, Alina Kobets

Abstract: The mobile games industry has become one of the most popular areas of mobile application development over the past five years. In-app purchases (IAP) are extremely valuable for developers/publishers, and they are interested in promoting them to users. However, previous research revealed differences between drivers of IAP for users from various countries. Authors compare drivers of Russian players and other emerging countries users. The design of the study consists of in-depth interviews with Russian users, followed by a quantitative survey that helps to identify the main drivers of in-app purchases. We found differences in the significance and the list of the drivers for Russian players. Cluster analysis allowed us to identify diverse segments with different priorities, so to be successful, game developers should dive into the peculiarities of the behavior of players in a particular country.

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