Critical Mass, Network Effect and ICT Productivity - A Dynamic CGE Modelling Approach

Wojtek Szewczyk

No 331765, Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project

Abstract: This paper models and analyses the impact of ICT technology on productivity growth. Three characteristics of ICT which have the capacity to impact upon ICT productivity are considered: (i) general purpose technology, (ii) network technology, and (iii) spillovers of ICT knowledge stock. The paper models national productivity as a function of economy-wide ICT productivity and the sectoral allocation of ICT resources. The model is hosted within a recursive dynamic CGE environment. The specification is applied to an ICT trade liberalisation experiment, which forecasts the possible impact of ICT technology on productivity growth for 2009-2015 if trade liberalisation in ICT products were to occur between APEC economies.

Keywords: Productivity Analysis; Research and Development/Tech Change/Emerging Technologies (search for similar items in EconPapers)
Pages: 30
Date: 2008
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Persistent link: https://EconPapers.repec.org/RePEc:ags:pugtwp:331765

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