Is investment in creating an "information economy" a necessary condition to the efficient development of a modern economy in Low Income Countries ("LIC's")? Background is provided on information economics and the concept of an "Information Economy". The shift towards investment in information infrastructure in LIC's is described. The problems of measuring information transactions, and of distinguishing between correlation and causality in an informaiton economy, are addressed. The effects of investment in information infrastructure are described, including rural areas. Examples are given of different national models.
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