Information and communication technology and labour productivity growth: a production‐frontier approach

Rossana Fulgenzi (), Simone Gitto () and Paolo Mancuso ()
Additional contact information
Rossana Fulgenzi: University of Siena
Simone Gitto: University of Siena
Paolo Mancuso: University of Rome Tor Vergata

Annals of Operations Research, 2024, vol. 333, issue 1, No 5, 123-156

Abstract: Abstract This work provides evidence of the positive impact of Information and Communication Technology (ICT) on the labour productivity growth of 24 countries, members of the OECD, from 1995 to 2019. Using a non-parametric production‐frontier approach, we decompose labour productivity growth into components attributable to technological change (shifts in the world production frontier), efficiency change (movements toward or away from the frontier), physical (non-ICT) capital change and ICT capital change (movements along the frontier). We find that, on average, the most significant improvement in worldwide labour productivity is attributable to technological change, non-ICT, and ICT capital change over 1995–2019. In addition, we confirm the role of ICT as a general-purpose technology that needs to implement complementary changes in business organisations to exploit its growth opportunities fully. Finally, we conclude that ICT capital contributes to convergence.

Keywords: Production-frontier; Economic growth; Productivity growth; Information and communication technology (ICT); General purpose technologies (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s10479-024-05818-8 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

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:spr:annopr:v:333:y:2024:i:1:d:10.1007_s10479-024-05818-8

Ordering information: This journal article can be ordered from
http://www.springer.com/journal/10479

DOI: 10.1007/s10479-024-05818-8

Access Statistics for this article

Annals of Operations Research is currently edited by Endre Boros

More articles in Annals of Operations Research from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().