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Ict, Business Services And Labour Productivity Growth

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  • Lourens Broersma
  • Bart Van Ark

Abstract

This paper focuses on the diffusion of knowledge intensive business services (KIBS) in relation to information and communication technology-based innovations and their effect on productivity growth. Intermediate purchases of KIBS by any other industry determine the extent of KIBS diffusion. This diffusion is seen as part of the broader process of organisational innovations. We find a significant positive relation between this measure of KIBS diffusion and the intensity of information technology (IT). Not only do use of IT and KIBS both contribute positively to labour productivity growth, we also find that the combination of these two inputs adds further to productivity growth for the aggregate economy.

Suggested Citation

  • Lourens Broersma & Bart Van Ark, 2007. "Ict, Business Services And Labour Productivity Growth," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 16(6), pages 433-449.
  • Handle: RePEc:taf:ecinnt:v:16:y:2007:i:6:p:433-449
    DOI: 10.1080/10438590600914429
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    Citations

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    Cited by:

    1. Martin Falk & Fei Peng, 2013. "The increasing service intensity of European manufacturing," The Service Industries Journal, Taylor & Francis Journals, vol. 33(15-16), pages 1686-1706, December.
    2. Francesco Quatraro, 2009. "Innovation, structural change and productivity growth: evidence from Italian regions, 1980--2003," Cambridge Journal of Economics, Oxford University Press, vol. 33(5), pages 1001-1022, September.
    3. Munshi Naser Ibne Afzal & Munshi Naser Ibne Afzal & Jeff Gow & Jeff Gow, 2016. "Electricity Consumption and Information and Communication Technology in the Next Eleven Emerging Economies," International Journal of Energy Economics and Policy, Econjournals, vol. 6(3), pages 381-388.
    4. Antonio Musolesi & Jean-Pierre Huiban, 2010. "Innovation and productivity in knowledge intensive business services," Journal of Productivity Analysis, Springer, vol. 34(1), pages 63-81, August.
    5. Karol, Rodriguez & Vélez, Jorge, 2013. "Impacto de las TIC en el nivel de innovación en América Latina y el Caribe: Estimaciones econométricas a nivel de un panel
      [Impact of ICT on the level of innovation in Latin America and the Caribbe
      ," MPRA Paper 60480, University Library of Munich, Germany, revised Oct 2013.
    6. Laura Abramovsky & Rachel Griffith, 2009. "ICT, corporate restructuring and productivity," IFS Working Papers W09/10, Institute for Fiscal Studies.

    More about this item

    Keywords

    Innovation; IT use; KIBS; Productivity;

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