Productivity Questions for Public Sector Fast Fibre Network Financiers
Fast internet access is widely considered to be a productivity-enhancing factor. However, despite promises of substantial gains from its deployment, the evidence from recent empirical studies suggests that the productivity gains may not be as large as originally hypothesised. If substantiated, these findings suggest that current government plans to apply significant sums to bring forward the deployment of fast fibre networks (e.g. in both Australia and New Zealand) may not generate returns to the extent anticipated by their sponsors. Drawing upon the original ‘computer productivity paradox’ literature, this paper develops a critical questioning framework to assist policy-makers in identifying the salient productivity issues to be addressed when making the decision to apply scarce public resources to faster broadband network deployment. Using multiple literatures, the framework highlights the nuanced and highly complex ways in which broadband network speed may affect productivity, both positively and negatively. Policy-makers need to be satisfied that, on balance, government-funded investments in faster networks will likely generate the anticipated net benefits, given the significant uncertainties that are identified.
Volume (Year): 1 (2010)
Issue (Month): 78 (2nd quarter)
|Contact details of provider:|| Postal: |
Phone: 33 (0)467 144 444
Fax: 33 (0)467 144 400
Web page: http://www.idate.org/en/Home/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Austan Goolsbee & Peter J. Klenow, 1999.
"Evidence on Learning and Network Externalities in the Diffusion of Home Computers,"
NBER Working Papers
7329, National Bureau of Economic Research, Inc.
- Goolsbee, Austan & Klenow, Peter J, 2002. "Evidence on Learning and Network Externalities in the Diffusion of Home Computers," Journal of Law and Economics, University of Chicago Press, vol. 45(2), pages 317-43, October.
- Stephen D. Oliner & Daniel E. Sichel, 2000.
"The resurgence of growth in the late 1990s: is information technology the story?,"
Finance and Economics Discussion Series
2000-20, Board of Governors of the Federal Reserve System (U.S.).
- Stephen D. Oliner & Daniel E. Sichel, 2000. "The resurgence of growth in the late 1990s: is information technology the story?," Proceedings, Federal Reserve Bank of San Francisco.
- Stephen D. Oliner & Daniel E. Sichel, 2000. "The Resurgence of Growth in the Late 1990s: Is Information Technology the Story?," Journal of Economic Perspectives, American Economic Association, vol. 14(4), pages 3-22, Fall.
- Andrew Atkeson & Patrick Kehoe, 1997. "Industry Evolution and Transition: A Neoclassical Benchmark," NBER Working Papers 6005, National Bureau of Economic Research, Inc.
- David, Paul A, 1990. "The Dynamo and the Computer: An Historical Perspective on the Modern Productivity Paradox," American Economic Review, American Economic Association, vol. 80(2), pages 355-61, May.
- Stiroh, Kevin J, 2002. "Are ICT Spillovers Driving the New Economy?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 48(1), pages 33-57, March.
- Dale W. Jorgenson & Kevin J. Stiroh, 2000.
"Raising the Speed Limit: U.S. Economic Growth in the Information Age,"
Brookings Papers on Economic Activity,
Economic Studies Program, The Brookings Institution, vol. 31(1), pages 125-236.
- Dale W. Jorgenson & Kevin J. Stiroh, 2000. "Raising the Speed Limit: US Economic Growth in the Information Age," OECD Economics Department Working Papers 261, OECD Publishing.
- Jack E. Triplett, 1999. "The Solow productivity paradox: what do computers do to productivity?," Canadian Journal of Economics, Canadian Economics Association, vol. 32(2), pages 309-334, April.
- Andy Atkeson & Pat Kehoe, 2002.
"The transition to a new economy after the Second Industrial Revolution,"
Federal Reserve Bank of San Francisco, issue Nov.
- Andrew Atkeson & Patrick J. Kehoe, 2001. "The Transition to a New Economy After the Second Industrial Revolution," NBER Working Papers 8676, National Bureau of Economic Research, Inc.
- Andrew Atkeson & Patrick J. Kehoe, 2001. "The transition to a new economy after the Second Industrial Revolution," Working Papers 606, Federal Reserve Bank of Minneapolis.
- Jovanovic, Boyan & Rob, Rafael, 1989. "The Growth and Diffusion of Knowledge," Review of Economic Studies, Wiley Blackwell, vol. 56(4), pages 569-82, October.
- Jovanovic, Boyan & Stolyarov, Dmitriy, 1997.
"Optimal Adoption of Complementary Technologies,"
97-27, C.V. Starr Center for Applied Economics, New York University.
- Jeremy Greenwood & Boyan Jovanovic, 1998.
"Accounting for Growth,"
NBER Working Papers
6647, National Bureau of Economic Research, Inc.
- Lipsey, Richard G. & Carlaw, Kenneth I. & Bekar, Clifford T., 2005. "Economic Transformations: General Purpose Technologies and Long-Term Economic Growth," OUP Catalogue, Oxford University Press, number 9780199290895, March.
- Helpman, E. & Trajtenberg, M., 1996.
"Diffusion of General Purpose Technologies,"
24-96, Tel Aviv - the Sackler Institute of Economic Studies.
- Sadowski, Bert M. & Nucciarelli, Alberto & de Rooij, Marc, 0. "Providing incentives for private investment in municipal broadband networks: Evidence from the Netherlands," Telecommunications Policy, Elsevier, vol. 33(10-11), pages 582-595, November.
- Chris Forman & Avi Goldfarb & Shane Greenstein, 2009. "The Internet and Local Wages: Convergence or Divergence?," NBER Working Papers 14750, National Bureau of Economic Research, Inc.
- Arthur Grimes & Cleo Ren & Philip Stevens, 2012.
"The need for speed: impacts of internet connectivity on firm productivity,"
Journal of Productivity Analysis,
Springer, vol. 37(2), pages 187-201, April.
- Arthur Grimes & Cleo Ren & Philip Stevens, 2009. "The Need for Speed: Impacts of Internet Connectivity on Firm Productivity," Working Papers 09_15, Motu Economic and Public Policy Research.
- Shane Greenstein & Ryan C. McDevitt, 2009. "The Broadband Bonus: Accounting for Broadband Internet's Impact on U.S. GDP," NBER Working Papers 14758, National Bureau of Economic Research, Inc.
When requesting a correction, please mention this item's handle: RePEc:idt:journl:cs7807. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (BLAVIER Thomas)
If references are entirely missing, you can add them using this form.