𝔖 Bobbio Scriptorium
✦   LIBER   ✦

Information Technology and Productivity Growth in the 2000s

✍ Scribed by Kevin Stiroh; Matthew Botsch

Book ID
111062279
Publisher
John Wiley and Sons
Year
2007
Tongue
English
Weight
244 KB
Volume
8
Category
Article
ISSN
1465-6485

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✦ Synopsis

Abstract

US productivity growth experienced continued productivity growth after 2000 even as investment, particularly in information technology (IT), slowed. This paper uses industry-level data to examine the link between average labor productivity (ALP) growth and IT in the post-2000 period. We use difference-indifference and cross-sectional regressions to show that the link between ALP growth and IT-intensity is weaker after 2000 than before. These results are robust to alternative measures of IT-intensity such as the IT share of capital services, the level of IT capital depth, and the share of IT capital services in total output. We conclude that the post-2000 productivity gains in the United States do not appear to have been driven directly by IT.

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## Corporations have made large investments in information technology over the past thirty years. The current trend is to continue this investment in shared information technology (SIT), including such tools as electronic mail, distributed databases, teleconferencing. and group decision support sy