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Computers and Economic Growth in Finland

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  • Petri Niininen

Abstract

The effect of computer technology on Finnish economic growth in 1983-96 is examined to shed light into the famous productivity paradox. Using the neoclassical growth accounting framework, the contribution of computer hardware, software and labor to gross and net output growth is assessed at aggregate level. The results suggest that a considerable amount of real growth can be attributed to computers. Almost eight per cent of the net growth can be attributed to information technology. This is about two thirds of the contribution of other fixed capital stock.

Suggested Citation

  • Petri Niininen, 1998. "Computers and Economic Growth in Finland," WIDER Working Paper Series wp-1998-148, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-1998-148
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    File URL: https://www.wider.unu.edu/sites/default/files/wp148.pdf
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    Cited by:

    1. Bakry, Walid & Nghiem, Xuan-Hoa & Farouk, Sherine & Vo, Xuan Vinh, 2023. "Does it hurt or help? Revisiting the effects of ICT on economic growth and energy consumption: A nonlinear panel ARDL approach," Economic Analysis and Policy, Elsevier, vol. 78(C), pages 597-617.
    2. Andrew Sharpe, 2007. "Lessons for Canada from International Productivity Experience," International Productivity Monitor, Centre for the Study of Living Standards, vol. 14, pages 20-37, Spring.
    3. Shumaila Zeb, 2022. "The role of knowledge economy in Asian business," Future Business Journal, Springer, vol. 8(1), pages 1-13, December.
    4. Quah, Danny, 1999. "The weightless economy in economic development," LSE Research Online Documents on Economics 2291, London School of Economics and Political Science, LSE Library.
    5. Quah, D., 1999. "The Weightless Economy in Economic Development," Research Paper 155, World Institute for Development Economics Research.
    6. Danny Quah, 1999. "The Weightless Economy in Economic Development," CEP Discussion Papers dp0417, Centre for Economic Performance, LSE.
    7. Elsadig Ahmed & Rahim Ridzuan, 2013. "The Impact of ICT on East Asian Economic Growth: Panel Estimation Approach," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 4(4), pages 540-555, December.

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