CHAPTER ONE
1.1 Background To The Study
Depression is defined as a severe and
prolonged recession. A recession is a situation of declining economic
activity. Declining economic activity is characterized by falling output
and employment levels. Generally, when an economy continues to suffer
recession for two or more quarters, it is called depression. The level
of productivity in an economy falls significantly during a depression.
Both the GDP (gross domestic product) and GNP (gross national product)
show a negative growth along with greater business failures and
unemployment. Many Developing countries have seen the need for the
adoption of ICT and the planned implementation of national ICT strategy
as a significant component in the success of ICT efforts to foster rapid
national development through greater productivity. The term ICT refers
to Information and communication technology which consist of
electronic technologies which facilitate access to information such as
the Internet, wireless networks, and cellular phones (WEF, 2012).The
effective adoptions of ICT enable the governments to propel rapid
productivity gains through different economic sectors in the nation. The
governments now view Information and communication technologies as a
strategy to enhance rapid national development through ICT-driven
productivity gains (Masanet & Matthews, 2010).Consequently the
coordinated effort of government is required in this direction to adopt
and implement a robust and integrated ICT platform for an effective
system of service delivery. (IDB, 2009). It is important to note that
Nigeria requires an integrated ICT agenda to sustain its national
developmental expectations (WEF, 2012). The benefits of ICT adoption
permeats public sector workplace productivity (Masanet & Matthews,
2010). Public sector workplace productivity therefore impacts on
business efficiencies resulting in resource efficiency, enhanced
customer interface, cost control mechanisms, energy savings, and
reducing negative environmental effects through using ICT applications
(Masanet & Matthews, 2010).Borisov and Barbulescu (2012) postulated
the adoption of the term electronic government which he stated consist
of ICT tools and systems which is used to access and efficiently
deliver public services to all stakeholders . (Bannister & Wilson,
2011).The adoption of ICT has facilitated easy access and interaction
between government and its citizens .Also the development of mobile
technologies, new web browsers, social media applications and sites, has
provided the government with new tools to enhance the needs of
e-government, which facilitate the development of an efficient system to
manage public services geared at improving public’s confidence in
government services (Borisov & Barbulescu, 2012).The research seek
to investigate the role of ICT in a depressed Economy.
1.2 Statement of the Problem
The advent of ICT has played
significant role in the development of the economy of great nations.
This is because of the importance and implementation of ICT strategy in
different sector of the economy. However many developing countries are
yet to fully adopt and implement ICT as a significant strategy to
national development. The current factor of depression in Nigeria and
other developing economy provide an opportunity for the implementation
of ICT strategy for the development of the nation. During depression the
level of productivity in an economy falls significantly. Both the GDP
(gross domestic product) and GNP (gross national product) show a
negative growth along with greater business failures and unemployment.
Consequently it is believed that the adoption of ICT and the planned
implementation of national ICT strategy as a significant component in
the success of ICT efforts to foster rapid national development through
greater productivity. The term ICT refers to Information and
communication technology which consist of electronic technologies
which facilitate access to information such as the Internet, wireless
networks, and cellular phones (WEF, 2012).The effective adoptions of ICT
enable the governments to propel rapid productivity gains through
different economic sectors in the nation. The need for the adoption of
ICT and the planned implementation of national ICT strategy as a
significant component in the success of ICT efforts to foster rapid
national development through greater productivity cannot be over
emphasized. The problem confronting the research is to proffer and
appraisal of the role of ICT in a depressed Economy.
1.3 Objectives of the Study
To determine the role of ICT in a depressed Economy.
1.4 Research Questions
What is the nature of a depressed economy?
What is the role of ICT in a depressed Economy?
1.5 Significance of the Study
The study shall proffer an appraisal of the role of ICT in a depressed Economy.
1.6 Research Hypothesis
Ho The role of ICT in a depressed economy is not significant
Hi The role of ICT in a depressed economy is significant
1.7 Scope of the Study
The study focuses on the appraisal of the role of ICT in a depressed economy.
1.8 Limitations of the Study
The study was confronted by some constraints including logistics and geographical factor.
1.9 Definition of Terms
Definition: Depression
is defined as a severe and prolonged recession. A recession is a
situation of declining economic activity. Declining economic activity is
characterized by falling output and employment levels. Generally, when
an economy continues to suffer recession for two or more quarters, it is
called depression.
ICT DEFINED
According to WEF (2012) Information and
communication technology (ICT) consist of Electronic technologies which
facilitate easy access to information such as the Internet, wireless
networks, and cellular phones (WEF, 2012).
PRODUCTIVITY DEFINED
The term Productivity measures and
calculates inputs to outputs and determines its effect on a country’s
economy and its competitiveness (Freeman, 2008).