variables on indicators of country size (population and/or labor force) and geographic characteristics (surface area of the country). Second, the relationship between these adjusted measures of infrastructure and per capita income is examined—and this constitutes a partial correlation between infrastructure development and the levels of development. This exercise is conducted for two time periods: the averages for 1998–2002 and 2008– 12. For reasons of space and without loss of generality, the focus here is on the benchmarking exercise for the latter period.<sup>9</sup>

# **Infrastructure Quantity**

_Telecommunications._ The partial correlation results show a positive association between telecommunications density and real income per capita (figure 1.a). This implies that, even after controlling for geographic and demographic factors, countries with greater income per capita tend to have a greater density of telecommunications. The analysis also finds that there has been a significant increase in telecommunications density among some countries in Sub-Saharan Africa over time.

**Figure 1. Telecommunications and Income per Capita**

<!-- Start of picture text --> a. Telecommunications density b. Internet density<br><!-- End of picture text --> <!-- Start of picture text --> 2008 - 2012 Benchmark (average) 2008 - 2012 Benchmark (average)<br>ZAF MUS<br>GAB KEN SDNNGA ZAF MUS<br>MDGETHMOZMWITGOGINBFAZWEMLIGMBUGABENTZASENLSOKENCMRCIVGHAZMB SDNNGA AGO MDGNERETHMOZMWITGOGINRWABFAZWEMLIGMBUGABENTZASENLSOCMRCIVGHAZMB AGO GAB<br>NER<br>RWA<br>-3 -2 -1 0 1 2 -3 -2 -1 0 1 2<br>GDP per capita GDP per capita<br>90% CI Linear Fit 90% CI Linear Fit<br>EAP ECA IND LAC MENA SA SSA EAP ECA IND LAC MENA SA SSA<br>R-sq: 0.7071; Observations 94; Using PWT 9.0 R-sq: 0.8559; Observations 94; Using PWT 9.0<br>Adjusted by demographic and geographic features. Adjusted by demographic and geographic features.<br>4 4<br>2 2<br>0 0<br>per 100 people<br>Number of lines/labor-2 -2<br>-4 -4<br><!-- End of picture text --> _Sources: International Telecommunications Union’s World Telecommunication/ICT indicators; World Bank, World Development Indicators. GDP per capita is from Feenstra, Inklaar, and Timmer 2015. Note: CI = confidence interval; EAP = East Asia and the Pacific; ECA = Europe and Central Asia; GDP = gross domestic product; IND = Industrial Countries; LAC = Latin America and the Caribbean; MENA = Middle East and North Africa; SA = South Asia; SSA = Sub-Saharan Africa._ Given certain idiosyncratic features (say, demographic and geographic characteristics), some countries in the region perform above the international norm according to their level of development (as depicted by the regression line), while others remain below that norm. For 2008–12, South Africa and Mauritius register the highest extent of telecommunications density (as measured by the _adjusted_ fixed and mobile lines per 1,000 people), and they are both above the international norm for that period. However, some countries have similar levels of telecommunications density as that of South Africa but with lower levels of income per capita (say, Paraguay and Jordan), while other countries have similar levels of telecommunications density despite having higher levels of development (for example, Greece and Turkey).

> 9 The benchmarking exercises for the period 1998-2002 are available upon request.

_Infrastructure in Sub-Saharan Africa - 12_