The Impact of Information Technology Outsourcing on Productivity and Output: New Evidence from India

Grace Kite ()
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Grace Kite: Department of Economics, SOAS University of London, UK

No 173, Working Papers from Department of Economics, SOAS University of London, UK

Abstract: Neither the literature on outsourcing nor the literature on the impact of information technology (IT) have previously quantified the effects of IT outsourcing. This is a particularly important omission in India, which has an IT outsourcing industry that is well placed to bring world-class applications of the technology to domestic customers. This paper provides econometric evidence which shows that there is a strong positive impact of IT outsourcing on output and productivity in India. It also demonstrates that in aggregate, IT outsourcing makes a substantial contribution to Indian economic growth.

Keywords: Information Technology; Outsourcing; India (search for similar items in EconPapers)
JEL-codes: O14 O19 O33 (search for similar items in EconPapers)
Pages: 24 pages
Date: 2012-06
New Economics Papers: this item is included in nep-eff and nep-ict
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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