Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?

In 2011, business sector investment per worker in information and communications technology (ICT) in Canada was only 57.8 per cent of the U.S. level, indicating an ICT investment per worker gap of 42.2 percentage points. Numerous explanations have been advanced to explain this gap, one of which is t...

Full description

Bibliographic Details
Main Authors: Vikram Rai, Andrew Sharpe
Format: Article
Language:English
Published: Centre for the Study of Living Standards 2013-09-01
Series:International Productivity Monitor
Subjects:
Online Access:http://www.csls.ca/ipm/26/IPM-26-Rai-Sharpe.pdf
_version_ 1818280625291919360
author Vikram Rai
Andrew Sharpe
author_facet Vikram Rai
Andrew Sharpe
author_sort Vikram Rai
collection DOAJ
description In 2011, business sector investment per worker in information and communications technology (ICT) in Canada was only 57.8 per cent of the U.S. level, indicating an ICT investment per worker gap of 42.2 percentage points. Numerous explanations have been advanced to explain this gap, one of which is that the ICT investment data from Statistics Canada and the Bureau of Economic Analysis are not strictly comparable. We compare the methodology used to measure ICT investment in Canada and the United States and find that issues related to measurement account for approximately 4 percentage points (10 per cent) of the gap. The gap is concentrated in the software component of ICT investment (90 per cent) and in a small number of ICT-intensive industries, in particular information and cultural industries. The article concludes that the Canada-U.S. ICT investment per worker gap is largely the result of industry-specific factors that affect software investment.
first_indexed 2024-12-12T23:52:12Z
format Article
id doaj.art-177d4b17fc6e40a3bba2919b03b9fdc1
institution Directory Open Access Journal
issn 1492-9759
1492-9767
language English
last_indexed 2024-12-12T23:52:12Z
publishDate 2013-09-01
publisher Centre for the Study of Living Standards
record_format Article
series International Productivity Monitor
spelling doaj.art-177d4b17fc6e40a3bba2919b03b9fdc12022-12-22T00:06:40ZengCentre for the Study of Living StandardsInternational Productivity Monitor1492-97591492-97672013-09-01266385Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?Vikram Rai0Andrew Sharpe1Centre for the Study of Living StandardsCentre for the Study of Living StandardsIn 2011, business sector investment per worker in information and communications technology (ICT) in Canada was only 57.8 per cent of the U.S. level, indicating an ICT investment per worker gap of 42.2 percentage points. Numerous explanations have been advanced to explain this gap, one of which is that the ICT investment data from Statistics Canada and the Bureau of Economic Analysis are not strictly comparable. We compare the methodology used to measure ICT investment in Canada and the United States and find that issues related to measurement account for approximately 4 percentage points (10 per cent) of the gap. The gap is concentrated in the software component of ICT investment (90 per cent) and in a small number of ICT-intensive industries, in particular information and cultural industries. The article concludes that the Canada-U.S. ICT investment per worker gap is largely the result of industry-specific factors that affect software investment.http://www.csls.ca/ipm/26/IPM-26-Rai-Sharpe.pdfictmeasurements issuesproductivity
spellingShingle Vikram Rai
Andrew Sharpe
Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?
International Productivity Monitor
ict
measurements issues
productivity
title Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?
title_full Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?
title_fullStr Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?
title_full_unstemmed Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?
title_short Can the Canada-U.S. ICT Investment Gap be a Measurement Issue?
title_sort can the canada u s ict investment gap be a measurement issue
topic ict
measurements issues
productivity
url http://www.csls.ca/ipm/26/IPM-26-Rai-Sharpe.pdf
work_keys_str_mv AT vikramrai canthecanadausictinvestmentgapbeameasurementissue
AT andrewsharpe canthecanadausictinvestmentgapbeameasurementissue