The contribution of Information and Communication Technology investments to Greek economic growth: An analytical growth accounting framework

Christos Antonopoulos and Plutarchos Sakellaris

Information Economics and Policy, 2009, vol. 21, issue 3, 171-191

Abstract: Information and Communication Technology (ICT) investments are the driving force behind the resurgence of growth in the developed countries during recent years. They are also the main reason for the increased growth rates of Total Factor Productivity (TFP). In this paper, we examine whether these relationship also hold for Greece. We use a neoclassical growth accounting model to identify the sources of growth and more specifically the role of ICT investments. We find that the contribution of ICT investments has increased during the period 1988-2003, but that this contribution is still lower than in the United States. During 1996-2003, ICT capital services contributed 0.75 to the total growth rate. We also examine the role of ICT investments at the industry level; we find that ICT investments have most benefited the Finance, Insurance, Real Estate and Business Services industries, and the Wholesale and Retail Trade industries. Finally, our results show that growth rates of TFP have also risen, a necessary condition to maintain the high growth rates of productivity in the future.

Keywords: Greek; economy; ICT; Economic; growth; Labor; productivity; Total; Factor; Productivity; Capital; stock (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0167-6245(09)00010-9
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:iepoli:v:21:y:2009:i:3:p:171-191

Access Statistics for this article

Information Economics and Policy is currently edited by D. Waterman

More articles in Information Economics and Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().