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Indirect ICT investment

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  • Paul-Antoine Beretti
  • Gilbert Cette

Abstract

Numerous economic studies have highlighted that information and communication technology (ICT) investment expenditure appears to be greater in the field of services, and above all in certain activities such as financial services and wholesale trade, than in industry. This analysis examines whether the investment data compiled by national accountants underestimate productive ICT expenditure, and whether this is more pronounced in the case of industry than for services. For that purpose, we propose an assessment of the size of ICT inputs (termed 'indirect ICT investment') in non-ICT investment expenditure for France in 2000. The main result of our analysis is that the amount of 'indirect ICT investment' appears to be small, compared with 'direct ICT investment', suggesting that the biggest investors in ICT remain services, regardless of whether we consider 'direct' or 'direct' plus 'indirect investment'.

Suggested Citation

  • Paul-Antoine Beretti & Gilbert Cette, 2009. "Indirect ICT investment," Applied Economics Letters, Taylor & Francis Journals, vol. 16(17), pages 1713-1716.
    • Handle: RePEc:taf:apeclt:v:16:y:2009:i:17:p:1713-1716
    DOI: 10.1080/13504850701675524
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    References listed on IDEAS

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    1. Gilbert Cette & Jacques Mairesse & Yussuf Kocoglu, 2000. "La mesure de l'investissement en technologies de l'information et de la communication : quelques considérations méthodologiques," Économie et Statistique, Programme National Persée, vol. 339(1), pages 73-91.
    2. François Lequiller, 2000. "La nouvelle économie et la mesure de la croissance," Économie et Statistique, Programme National Persée, vol. 339(1), pages 45-71.
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    Cited by:

    1. Antonin Bergeaud & Gilbert Cette & Rémy Lecat, 2018. "The role of production factor quality and technology diffusion in twentieth-century productivity growth," Cliometrica, Journal of Historical Economics and Econometric History, Association Française de Cliométrie (AFC), vol. 12(1), pages 61-97, January.
    2. Gilbert Cette & Jimmy Lopez & Giorgio Presidente & Vincenzo Spiezia, 2019. "Measuring ‘indirect’ investments in ICT in OECD countries," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 28(4), pages 348-364, May.
    3. Rohman, Ibrahim Kholilul & Bohlin, Erik, 2014. "Decomposition analysis of the telecommunications sector in Indonesia: What does the cellular era shed light on?," Telecommunications Policy, Elsevier, vol. 38(3), pages 248-263.

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    More about this item

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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