IT and Beyond: The Contribution of Heterogeneous Capital to Productivity

Daniel Wilson

Journal of Business & Economic Statistics, 2009, vol. 27, 52-70

Abstract: This article explores the relationship between capital composition and productivity using a unique, detailed dataset on firm investment in the United States in the late 1990s. I develop a methodology for estimating the separate effects of multiple capital types in a production function framework. I back out the implied marginal products of each capital type and compare these with rental price data. I find that although most capital types earned normal returns, information and communications technology capital goods had marginal products substantially above their rental prices. The article also provides evidence of complementarities and substitutabilities among capital types and between capital types and labor.

Date: 2009
References: Add references at CitEc
Citations: View citations in EconPapers (34)

Downloads: (external link)
http://pubs.amstat.org/doi/abs/10.1198/jbes.2009.0005 full text (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: IT and Beyond: The Contribution of Heterogenous Capital to Productivity (2004)
Working Paper: IT and beyond: the contribution of heterogeneous capital to productivity (2004)
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:bes:jnlbes:v:27:y:2009:p:52-70

Ordering information: This journal article can be ordered from
http://www.amstat.org/publications/index.html

Access Statistics for this article

Journal of Business & Economic Statistics is currently edited by Jonathan H. Wright and Keisuke Hirano

More articles in Journal of Business & Economic Statistics from American Statistical Association
Bibliographic data for series maintained by Christopher F. Baum ().