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The Economic Impact of ICT

Measurement, Evidence and Implications

image of The Economic Impact of ICT

Information and communications technology (ICT) has become a key driver of economic growth over the past decade. The rapid diffusion of the Internet, of mobile telephony and of broadband networks all demonstrate how pervasive this technology has become. But how precisely does ICT affect economic growth and the efficiency of firms? And how well can these effects be measured?

This report provides an overview of the economic impact of ICT on economic performance, and the ways through which it can be measured. Using available OECD data, the first part of the book examines the available measures of ICT diffusion, the role and impact of ICT investment and the role of ICT-using and ICT-producing sectors in overall economic performance. The second part of the book offers nine studies for OECD countries, based on detailed firm-level data and prepared by researchers and statisticians from a wide range of OECD countries. These studies use a variety of methods and provide detailed insights on the effects of ICT in individual countries.

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Enterprise E-commerce

Measurement and Impact

Measurement of e-commerce in the United Kingdom, which started in 2001, has moved from assessment of usage by firms to analysis of its economic effects on firm performance. The programme of work at ONS has so far focused on analysis aspects of the technology adoption process which affect ability to identify performance effects, and the productivity and market efficiencies which can be detected from large scale surveys. This chapter brings together evidence from three UK sources, the enterprise e-commerce survey, the annual business inquiry and monthly producer price inquiries over the period 2000-2001. Despite the high levels of turbulence and change in electronic markets over this period, productivity modelling shows significant gains (and some losses) associated with electronic network use. The evidence suggests that some of these are related to the impact which e-procurement has on market prices...

English

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