IDEAS home Printed from
   My bibliography  Save this article

Which Factors Affect IT Investment in European Countries? A Panel Data Analysis


  • Paolo Guerrieri

    () (Università "La Sapienza", Roma)

  • Cecilia Jona-Lasinio

    () (ISTAT, Roma)

  • Stefano Manzocchi

    () (Università di Perugia)


The aim of this paper is to identify the stage of IT adoption in individual European economies, and to analyse which factors affect IT investment in a panel of EU countries. We first analyse the dynamics and the composition of IT investment expenditure in the United Kingdom, Netherlands, Germany, France and Italy from 1982 to 2001 and we draw a picture of IT diffusion in those countries. Then, we analyse the relationships between IT investment and different variables representing financial constraints, comparative advantage and R&D intensity and we investigate, within IT, the distinction between hardware and software capital formation. Financial conditions and comparative advantage turn out to affect IT investment, but factors affecting hardware investment only partially overlap with those concerning software.

Suggested Citation

  • Paolo Guerrieri & Cecilia Jona-Lasinio & Stefano Manzocchi, 2005. "Which Factors Affect IT Investment in European Countries? A Panel Data Analysis," Rivista di Politica Economica, SIPI Spa, vol. 95(1), pages 111-136, January-F.
  • Handle: RePEc:rpo:ripoec:v:95:y:2005:i:1:p:111-136

    Download full text from publisher

    File URL:
    Download Restriction: Payment required

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    JEL classification:

    • F00 - International Economics - - General - - - General
    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rpo:ripoec:v:95:y:2005:i:1:p:111-136. 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: (Sabrina Marino). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.