The influence of ICT instruments on a transmission of interest rates by business entities and public authorities – A scientific comment

Abstract

Purpose of the study: This article aims to present the role played by electronic communication tools from the economic and investor perspective. The paper focuses on three axes: ICT for a transmission of information on interest rates, ICT as a source of information for investors and ICT for improving market efficiency. Methodology: The article is exploratory in nature, which means that in order to investigate the individual pillars of this work, an analysis of the corresponding literature sources has been made. An extensive review of scientific articles, scientific books, and working papers corresponding to individual axes was made. Main Findings: ICT tools show an advantage over other (more traditional) communication channels, which is reflected in more dynamic and immediate market reactions. High use of these tools is observed both among enterprises and central agencies. The effective transmission of information about interest rates minimizes the risk of making wrong investment decisions. However, it is important to bear in mind the challenges of, inter alia, still low level of digital literacy among the society. Applications of the study: This work may be an incentive for entrepreneurs to digitize their companies more widely, but also for investors to use ICT to make investment decisions more accurately. Novelty/Originality of the study: The paper presents a broad literature overview on using ICT tools in economic applications, including investment. The starting point is also behavioral decision-making theories along with classical heuristics.