The Productivity Paradox of the New Digital Economy
Despite a rapid increase in business spending on capital and services in Information and Communication Technology (ICT), the New Digital Economy (mobile technology, the internet, and cloud) has not yet generated any visible improvement in productivity growth. This article reviews the latest evidence...
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| Format: | Article |
| Language: | English |
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Centre for the Study of Living Standards
2016-09-01
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| Series: | International Productivity Monitor |
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| Online Access: | http://www.csls.ca/ipm/31/vanark.pdf |
| _version_ | 1819050101991014400 |
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| author | Bart van Ark |
| author_facet | Bart van Ark |
| author_sort | Bart van Ark |
| collection | DOAJ |
| description | Despite a rapid increase in business spending on capital and services in Information and Communication Technology (ICT), the New Digital Economy (mobile technology, the internet, and cloud) has not yet generated any visible improvement in productivity growth. This article reviews the latest evidence for the United States, the United Kingdom and Germany. We find rapidly declining ICT prices, a shift from ICT investment to ICT services, and a continued increase in knowledge based-assets supporting ICT. However, the New Digital Economy is still in its “installation phase” and productivity effects may occur only once the technology enters the “deployment phase”. |
| first_indexed | 2024-12-21T11:42:42Z |
| format | Article |
| id | doaj.art-d1d1765bf25c4cfaabed21c932187e21 |
| institution | Directory Open Access Journal |
| issn | 1492-9759 1492-9767 |
| language | English |
| last_indexed | 2024-12-21T11:42:42Z |
| publishDate | 2016-09-01 |
| publisher | Centre for the Study of Living Standards |
| record_format | Article |
| series | International Productivity Monitor |
| spelling | doaj.art-d1d1765bf25c4cfaabed21c932187e212022-12-21T19:05:15ZengCentre for the Study of Living StandardsInternational Productivity Monitor1492-97591492-97672016-09-0131318The Productivity Paradox of the New Digital EconomyBart van Ark0The Conference Board and the University of GroningenDespite a rapid increase in business spending on capital and services in Information and Communication Technology (ICT), the New Digital Economy (mobile technology, the internet, and cloud) has not yet generated any visible improvement in productivity growth. This article reviews the latest evidence for the United States, the United Kingdom and Germany. We find rapidly declining ICT prices, a shift from ICT investment to ICT services, and a continued increase in knowledge based-assets supporting ICT. However, the New Digital Economy is still in its “installation phase” and productivity effects may occur only once the technology enters the “deployment phase”.http://www.csls.ca/ipm/31/vanark.pdfinformation and communication technologyictlabour productivitydigitalization |
| spellingShingle | Bart van Ark The Productivity Paradox of the New Digital Economy International Productivity Monitor information and communication technology ict labour productivity digitalization |
| title | The Productivity Paradox of the New Digital Economy |
| title_full | The Productivity Paradox of the New Digital Economy |
| title_fullStr | The Productivity Paradox of the New Digital Economy |
| title_full_unstemmed | The Productivity Paradox of the New Digital Economy |
| title_short | The Productivity Paradox of the New Digital Economy |
| title_sort | productivity paradox of the new digital economy |
| topic | information and communication technology ict labour productivity digitalization |
| url | http://www.csls.ca/ipm/31/vanark.pdf |
| work_keys_str_mv | AT bartvanark theproductivityparadoxofthenewdigitaleconomy AT bartvanark productivityparadoxofthenewdigitaleconomy |