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ICT, collaboration, and innovation: Evidence from BITNET

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  • Wernsdorf, Kathrin
  • Nagler, Markus
  • Watzinger, Martin

Abstract

Does access to technologies that reduce information and communication costs increase innovation? We examine this question by exploiting the staggered adoption of BITNET across U.S. universities in the 1980s. BITNET, an early version of the Internet, enabled e-mail-based knowledge exchange and collaboration among academics. After the adoption of BITNET, university-connected inventors increase patenting substantially. The effects are driven by collaborative patents by new inventor teams. The patents induced by ICT are closely related to science. In contrast, we neither find an effect on patents not closely related to science nor on corporate inventors unconnected to universities.

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  • Wernsdorf, Kathrin & Nagler, Markus & Watzinger, Martin, 2022. "ICT, collaboration, and innovation: Evidence from BITNET," Journal of Public Economics, Elsevier, vol. 211(C).
    • Handle: RePEc:eee:pubeco:v:211:y:2022:i:c:s0047272722000809
    DOI: 10.1016/j.jpubeco.2022.104678
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    1. Xu, Shengxiang & Chen, Hsinghung & Dong, Shuli & Guo, Zizheng, 2023. "Can upgrading information infrastructure improve the innovation ability of companies? Empirical evidence from China," Telecommunications Policy, Elsevier, vol. 47(6).

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    More about this item

    Keywords

    ICT; Communication; Knowledge diffusion; Science-based innovation; University-patenting;
    All these keywords.

    JEL classification:

    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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