e-Government Benefits and Costs

The article argues that e-government raises, not lowers taxes. Quality cost-benefit analyses are limited in industrialized nations and even more so in the developing world. However, the pattern seems to be that the money saved through e-government measures is outweighed by the introduction and maintenance of e-government. Costs like hardware, software, internet connectivity, and the cost of an IT staff are added to inherent costs in a developing nation (low labor and high IT costs, low volumes of transactions across which costs can be spread, the learning curve, and the need for government e-services to be run in parallel with existing face-to-face, phone and postal service channels in order to bridge the digital divide and avoid excluding large sections of the population from access to government services. However, the author does not support the idea that e-government is a waste of money. He argues that the benefits lie elsewhere (time saving, oversight, service quality and equity). I agree that the start-up costs will outweigh the money saving benefits, but I believe this trend will undeniably change with time. E-gov will become part of the social fabric and the necessary infrastructure will be improved up. Investments on e-gov will see returns. http://ict4dblog.wordpress.com/

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About jnseng


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