Information Technology, Productivity, and Economic Growth
International Evidence and Implications for Economic Development
Series: WIDER Studies in Development Economics;
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Product details:
- Publisher OUP Oxford
- Date of Publication 12 April 2001
- ISBN 9780199243983
- Binding Hardback
- No. of pages302 pages
- Size 244x164x21 mm
- Weight 572 g
- Language English
- Illustrations numerous tables and graphs 0
Categories
Short description:
The popular view is that information technology will change the world by boosting productivity and economic growth. But while IT has many visible effects on the modern economy, studies have found little correlation between IT investment and overall productivity.
By presenting new micro- and macroeconomic evidence, this volume shows that in recent years IT investment has exerted a strong influence on productivity and economic growth in many industrial and newly industrialized countries. It also identifies national IT strategies to promote participation in the information economy.
Long description:
The often-advocated view that the information technology revolution will change the world must stem from the basic premiss that investment in IT has a visible impact on productivity and economic growth. But how can we measure this impact and how large is it?
By surveying previous studies and by presenting new micro- and macroeconomic evidence, this collection shows that in recent years the use of IT in the production of goods and services has had a strong influence on productivity and economic growth in industrial and in newly industrialized countries. Yet developing countries seem neither to have invested in IT nor benefited from such investments to the same extent as industrial countries. There is concern that information is becoming a commodity, like income and wealth, by which countries are classified as rich and poor.
The contributors to this volume argue that investment in infrastructure, physical capital, and education is the key to economic development. This is an old policy prescription in the economics of development. What is new is the suggestion that the IT content of these investments should be high. The use of IT is so widely spread throughout the world economy that no single country can avoid investing in this technology if it wants to improve the standard of living of its citizens.
Besides providing citizens with access to IT and to IT education and training, governments should promote participation in the information society, thus generating a sufficiently strong demand base for information products. By developing advanced applications of IT, and by becoming a model for the private sector, governments can alter worker, firm, and consumer attitudes, and lower their costs of adopting IT. The use of IT, not necessarily its production, is what matters for economic development.
An important contribution to the ongoing debate on the economic impact of technological advances in the information and communication sectors ... In recent years, when the hype concerning the advent of the so-called 'new economy' was at its height, much has been said and written about the almost miraculous virtues of the ICT revolution. This book has the important merit of looking at the issue from a more balanced and informed perspective... highly welcome as an important contribution, from which everybody concerned with technological progress, economic growth and development will benefit.
Table of Contents:
Information Technology and Economic Growth: Introduction and Conclusions
Technology and Economic Growth
The Roles of Knowledge and Capital in Economic Growth
International R&D Spillovers and Economic Growth
The Weightless Economy in Economic Development
Microeconomic Evidence
Computers and Labour Markets: International Evidence
Information Technology and Research and Development Impacts on Productivity and Skills: Looking for Correlations on French Firm-Level Data
The Determinants of the Adoption of Information Technology: A Case Study of the Indian Garments Industry
Macroeconomic Evidence
Computers and Economic Growth
The Economic Impact of Information and Communication Technology in Korea
The Contribution of Information Technology to the Rapid Economic Growth of Singapore
Information Technology and Economic Growth: A Cross-Country Analysis
Information Technology and Economic Development: Results and Policy Implications of Cross-Country Studies
