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The Impact of High-Tech Capital on Productivity: Evidence from Australia

Author

Listed:
  • Ellis Connolly
  • Kevin J. Fox

Abstract

This article examines the relationship between high-tech capital use and productivity. Using Australian data, some evidence is found of a positive relationship between high-tech capital use and productivity in the market sector, but there is much less evidence of excess returns. These results are robust to the use of a variety of different measures of high-tech capital. At the industry level however, the relationship is significant and positive for only some industries. This suggests that the benefits of investment in high-tech capital are not spread evenly across the economy. (JEL O3) Copyright 2006, Oxford University Press.

Suggested Citation

  • Ellis Connolly & Kevin J. Fox, 2006. "The Impact of High-Tech Capital on Productivity: Evidence from Australia," Economic Inquiry, Western Economic Association International, vol. 44(1), pages 50-68, January.
    • Handle: RePEc:oup:ecinqu:v:44:y:2006:i:1:p:50-68
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    File URL: http://hdl.handle.net/10.1093/ei/cbj004
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    Citations

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    Cited by:

    1. Ellis Connolly & Linus Gustafsson, 2013. "Australian Productivity Growth: Trends and Determinants," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(4), pages 473-482, December.
    2. Shahiduzzaman, Md. & Alam, Khorshed, 2014. "The long-run impact of Information and Communication Technology on economic output: The case of Australia," Telecommunications Policy, Elsevier, vol. 38(7), pages 623-633.
    3. Amani Elnasri & Kevin J. Fox, 2017. "The contribution of research and innovation to productivity," Journal of Productivity Analysis, Springer, vol. 47(3), pages 291-308, June.
    4. Donald G. Ross & Dorothy Wood, 2008. "Do environmental social controls matter to Australian capital investment decision‐making?," Business Strategy and the Environment, Wiley Blackwell, vol. 17(5), pages 294-303, July.
    5. Joanna Mackiewicz-Łyziak, 2010. "Wpływ infrastruktury na produktywność w gospodarce Polski," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 3, pages 41-61.
    6. Zuzana Smeets Kristkova & Cornelis Gardebroek & Michiel van Dijk & Hans van Meijl, 2017. "The impact of R&D on factor-augmenting technical change – an empirical assessment at the sector level," Economic Systems Research, Taylor & Francis Journals, vol. 29(3), pages 385-417, July.
    7. Amani Elnasri & Kevin J. Fox, 2014. "The Contribution of Research and Innovation to Productivity and Economic Growth," Discussion Papers 2014-08, School of Economics, The University of New South Wales.
    8. Richard Dion & Robert Fay, 2008. "Understanding Productivity: A Review of Recent Technical Research," Discussion Papers 08-3, Bank of Canada.
    9. Amani, Elnasri & Fox, Kevin J., 2015. "R&D, Innovation and Productivity: The Role of Public Support," KDI Journal of Economic Policy, Korea Development Institute (KDI), vol. 37(1), pages 73-96.

    More about this item

    JEL classification:

    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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