IDEAS home Printed from https://ideas.repec.org/a/taf/ecinnt/v21y2012i2p203-221.html
   My bibliography  Save this article

Evaluating the effects of investment in information and communication technology

Author

Listed:
  • Rebeca Jiménez-Rodréguez

Abstract

Most of the studies on the consequences of information and communication technology (ICT) have been focused on US aggregate data. In contrast to these studies, this paper empirically assesses the industrial effect of ICT investment on three key variables -- real output, employment, and labour productivity -- in some European Union-15 (EU-15) countries and the USA using panel-vector autoregression models. An increase in ICT investment is positive for the economies of these countries, giving rise to larger growth in real output, employment, and labour productivity at the industrial level. The pattern of responses to changes in ICT investment is quantitatively diverse across most of the EU-15 countries studied and in the two types of industries considered (i.e. ICT-intensive and less intensive industries). Moreover, the positive impact on labour productivity in ICT-intensive industries is larger after the mid-1990s, with the USA being the most positively affected country.

Suggested Citation

  • Rebeca Jiménez-Rodréguez, 2012. "Evaluating the effects of investment in information and communication technology," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 21(2), pages 203-221, February.
    • Handle: RePEc:taf:ecinnt:v:21:y:2012:i:2:p:203-221
    DOI: 10.1080/10438599.2011.561998
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/10438599.2011.561998
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/10438599.2011.561998?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Nicola MATTEUCCI & Alessandro STERLACCHINI, 2003. "ICT and Employment Growth in Italian Industries," Working Papers 193, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    2. repec:dgr:rugggd:200363 is not listed on IDEAS
    3. Timmer, Marcel P. & Ypma, Gerard & Ark, Bart van der, 2003. "IT in the European Union: driving productivity divergence?," GGDC Research Memorandum 200363, Groningen Growth and Development Centre, University of Groningen.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Díaz-Chao, Ángel & Sainz-González, Jorge & Torrent-Sellens, Joan, 2015. "ICT, innovation, and firm productivity: New evidence from small local firms," Journal of Business Research, Elsevier, vol. 68(7), pages 1439-1444.
    2. Khanna, Rupika & Sharma, Chandan, 2024. "Beyond information technology and productivity paradox: Analysing the channels of impact at the firm-level," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    3. A. Arrighetti & F. Landini & A. Lasagni, 2015. "Firms’economic crisis and firm exit: do intangibles matters?," Economics Department Working Papers 2015-EP04, Department of Economics, Parma University (Italy).
    4. Khanna, Rupika & Sharma, Chandan, 2021. "Do technological investments promote manufacturing productivity? A firm-level analysis for India," Economic Modelling, Elsevier, vol. 105(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nicholas Bloom & Luis Garicano & Raffaella Sadun & John Van Reenen, 2014. "The Distinct Effects of Information Technology and Communication Technology on Firm Organization," Management Science, INFORMS, vol. 60(12), pages 2859-2885, December.
    2. Gilbert Cette & Yusuf Kocoglu & Jacques Mairesse, 2009. "Productivity Growth and Levels in France, Japan, the United Kingdom and the United States in the Twentieth Century," NBER Working Papers 15577, National Bureau of Economic Research, Inc.
    3. repec:dgr:rugggd:gd-79 is not listed on IDEAS
    4. Francesco Venturini, 2009. "The long-run impact of ICT," Empirical Economics, Springer, vol. 37(3), pages 497-515, December.
    5. Nicholas Bloom & Raffaella Sadun, 2012. "The Organization of Firms Across Countries," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 127(4), pages 1663-1705.
    6. Harry Bowen & Haris Munandar & Jean-Marie Viaene, 2010. "How integrated is the world economy?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 146(3), pages 389-414, September.
    7. Lach, Saul & Trajtenberg, Manuel & Shiff, Gil, 2008. "Together but Apart: ICT and Productivity Growth in Israel," CEPR Discussion Papers 6732, C.E.P.R. Discussion Papers.
    8. Nicholas Bloom & Raffaella Sadun & John Van Reenen, 2012. "Americans Do IT Better: US Multinationals and the Productivity Miracle," American Economic Review, American Economic Association, vol. 102(1), pages 167-201, February.
    9. Mauro Giorgio Marrano & Jonathan Haskel & Gavin Wallis, 2009. "What Happened To The Knowledge Economy? Ict, Intangible Investment, And Britain'S Productivity Record Revisited," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 55(3), pages 686-716, September.
    10. Francesco Venturini, 2005. "How Much Does IT Consumption Matter for Growth? Evidence from National Accounts," Rivista di Politica Economica, SIPI Spa, vol. 95(1), pages 57-110, January-F.
    11. Benjamin David, 2012. "Modélisation non-linéaire de l'impact des TIC sur la productivité du travail," Working Papers hal-04141025, HAL.
    12. Theo Eicher & Oliver Roehn, 2007. "Sources of the German Productivity Demise – Tracing the Effects of Industry-Level ICT Investment," CESifo Working Paper Series 1896, CESifo.
    13. van Ark, Bart & Inklaar, Robert, 2006. "Catching up or getting stuck? Europe's troubles to exploit ICT's productivity potential," GGDC Research Memorandum GD-79, Groningen Growth and Development Centre, University of Groningen.
    14. Angel de la Fuente, 2009. "Testing, not modelling, the impact of Cohesion support: a theoretical framework and some preliminary results for the Spanish regions," Working Papers 419, Barcelona School of Economics.
    15. Bowen, H. & Munandar, H. & Viaene, J.M., 2006. "Evidence and implications of zipf’s law for integrated economies," Vlerick Leuven Gent Management School Working Paper Series 2006-03, Vlerick Leuven Gent Management School.
    16. Erauskin-Iurrita, Iñaki, 2008. "The sources of economic growth in the Basque Country, Navarre and Spain during the period 1986-2004," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 12, pages 35-58.
    17. Raquel Ortega‐Argilés & Mariacristina Piva & Marco Vivarelli, 2014. "The transatlantic productivity gap: Is R&D the main culprit?," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 47(4), pages 1342-1371, November.
    18. Harry P. Bowen & Haris Munandar & Jean-Marie Viaene, 2005. "The Limiting Distribution of Production in Integrated Economies: Evidence from US States and EU Countries," Tinbergen Institute Discussion Papers 05-045/2, Tinbergen Institute.
    19. Harry P. Bowen & Haris Munandar & Jean-Marie Viaene, 2005. "Zipf's Law for Integrated Economies," Tinbergen Institute Discussion Papers 05-048/2, Tinbergen Institute, revised 06 Feb 2007.
    20. Thomas Strobel, 2012. "New evidence on the sources of EU countries’ productivity growth—industry growth differences from R&D and competition," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 39(3), pages 293-325, August.
    21. Kul Luintel & Mosahid Khan & Konstantinos Theodoridis, 2014. "On the robustness of R&D," Journal of Productivity Analysis, Springer, vol. 42(2), pages 137-155, October.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:ecinnt:v:21:y:2012:i:2:p:203-221. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/GEIN20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.