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The productivity paradox and the new economy: The Spanish case

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Author Info
Martínez, Diego
Rodríguez, Jesús
Torres, José L.

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Abstract

This paper studies the impact of the information and communication technologies (ICT) on economic growth in Spain using a dynamic general equilibrium approach. Contrary to previous works, we use a production function with six different capital inputs, three of them corresponding to ICT assets. Calibration of the model suggests that the contribution of ICT to Spanish productivity growth is very relevant, whereas the contribution of non-ICT capital has been even negative. Additionally, over the sample period 1995-2002, we find a negative TFP growth and productivity growth. These results together aim at the hypothesis that the Spanish economy could be placed within the productivity paradox.

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File URL: http://www.sciencedirect.com/science/article/B6X4M-4R1KVKD-1/2/02a741b3c88816069e82899d24d3e066
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Publisher Info
Article provided by Elsevier in its journal Journal of Macroeconomics.

Volume (Year): 30 (2008)
Issue (Month): 4 (December)
Pages: 1569-1586
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Handle: RePEc:eee:jmacro:v:30:y:2008:i:4:p:1569-1586

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Web page: http://www.elsevier.com/locate/inca/622617

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Related research
Keywords: New economy Information and communication technologies Technological change Productivity paradox;

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  1. Diego Martínez & Jesús Rodríguez-López & José L. Torres, 2008. "Productivity growth and technological change in Europe and the U.S," Working Papers 2008-10, Universidad de Málaga, Department of Economic Theory, Málaga Economic Theory Research Center. [Downloadable!]
  2. Manuel A. Hidalgo Pérez & Jesús Rodríguez López & José María O´Kean Alonso, 2008. "Labor Demand and Information Technologies: Evidence for Spain, 1980-2005," Working Papers 08.12, Universidad Pablo de Olavide, Department of Economics. [Downloadable!]
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  3. Diego Martínez López & Jesús Rodríguez López & José Luis Torres Chacón, 2008. "ICT-specific technological change and productivity growth in the US 1980-2004," Working Papers 08.05, Universidad Pablo de Olavide, Department of Economics. [Downloadable!]
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