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The determinants of investment in information and communication technologies

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  • P. Guerrieri
  • M. Luciani
  • V. Meliciani

Abstract

In this paper, we assess the determinants of information and communication technology (ICT) investment at the macro-level, for a panel of 10 advanced countries, in the period 1992-2005. We investigate the idea that, since ICTs are general purpose technologies, the decision to invest in these technologies is strongly affected by the general business environment in which the investment takes place. The empirical results are consistent with this idea: facilitating factors such as changes in market regulation, amount of human capital, expenditure on R&D, and the share of the dynamic services sector in the economy, positively influence investment in ICT.

Suggested Citation

  • P. Guerrieri & M. Luciani & V. Meliciani, 2011. "The determinants of investment in information and communication technologies," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 20(4), pages 387-403.
  • Handle: RePEc:taf:ecinnt:v:20:y:2011:i:4:p:387-403
    DOI: 10.1080/10438599.2010.526313
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    Cited by:

    1. Gilbert Cette & Christian Clerc & Lea Bresson, 2015. "Contribution of ICT Diffusion to Labour Productivity Growth: The United States, Canada, the Eurozone, and the United Kingdom, 1970-2013," International Productivity Monitor, Centre for the Study of Living Standards, vol. 28, pages 81-88, Spring.
    2. Cette, Gilbert & Fernald, John & Mojon, Benoît, 2016. "The pre-Great Recession slowdown in productivity," European Economic Review, Elsevier, vol. 88(C), pages 3-20.
    3. G. Cette & J. Lopez & J. Mairesse, 2016. "Labour market regulations and capital labour substitution," Working papers 604, Banque de France.
    4. repec:spr:jknowl:v:9:y:2018:i:3:d:10.1007_s13132-016-0383-7 is not listed on IDEAS
    5. Gilbert Cette & Jimmy Lopez & Jacques Mairesse, 2016. "Labour Market Regulations and Capital Intensity," NBER Working Papers 22603, National Bureau of Economic Research, Inc.
    6. Luc Eyraud & Changchang Zhang & Abdoul A Wane & Benedict J. Clements, 2011. "Who's Going Green and Why? Trends and Determinants of Green Investment," IMF Working Papers 11/296, International Monetary Fund.
    7. repec:spr:jknowl:v:9:y:2018:i:2:d:10.1007_s13132-016-0353-0 is not listed on IDEAS
    8. Cette, G. & Clerc, C. & Bresson, L., 2015. "Diffusion et contribution à la croissance des TIC aux États-Unis, dans la zone euro et au Royaume-Uni," Bulletin de la Banque de France, Banque de France, issue 200, pages 83-90.
    9. Gilbert Cette & Jimmy Lopez & Giorgio Presidente & Vincenzo Spiezia, 2019. "Measuring ‘indirect’ investments in ICT in OECD countries," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 28(4), pages 348-364, May.
    10. Gilbert Cette & Rémy Lecat & Carole Ly-Marin, 2017. "Long-term growth and productivity projections in advanced countries," OECD Journal: Economic Studies, OECD Publishing, vol. 2016(1), pages 71-90.
    11. Gilbert Cette & Jimmy Lopez & Jacques Mairesse, 2018. "Employment Protection Legislation Impacts on Capital and Skills Composition," Economie et Statistique / Economics and Statistics, Institut National de la Statistique et des Études Économiques (INSEE), issue 503-504, pages 109-122.
    12. Bashir, Sadaf & Sadowski, B. M., 2014. "General purpose technologies: A survey, a critique and future research directions," 25th European Regional ITS Conference, Brussels 2014 101443, International Telecommunications Society (ITS).
    13. Fabio Bacchini & Maria Elena Bontempi & Roberto Golinelli & Cecilia Jona-Lasinio, 2014. "ICT and Non-ICT investments: short and long run macro dynamics," Working Papers LuissLab 14113, Dipartimento di Economia e Finanza, LUISS Guido Carli.
    14. repec:spr:empeco:v:54:y:2018:i:2:d:10.1007_s00181-016-1211-4 is not listed on IDEAS
    15. Olimpia Neagu, 2011. "How The Investment In R&D Is Related To The Human Capital Accumulation? The Case Of Romania," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 2(13), pages 1-35.
    16. Marianna Belloc & Paolo Guerrieri, 2015. "Impact of ICT diffusion and adoption on sectoral industrial performance: evidence from a panel of European countries," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 32(1), pages 67-84, April.
    17. Gilbert CETTE, 2015. "Which Role for ICTs as a Productivity Driver Over the Last Years and the Next Future?," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(100), pages 65-83, 4th quart.
    18. Eyraud, Luc & Clements, Benedict & Wane, Abdoul, 2013. "Green investment: Trends and determinants," Energy Policy, Elsevier, vol. 60(C), pages 852-865.
    19. Rammer, Christian & Köhler, Christian, 2012. "Innovationen, Anlageinvestitionen und immaterielle Investitionen," ZEW Discussion Papers 12-085, ZEW - Leibniz Centre for European Economic Research.

    More about this item

    Keywords

    information and communication technologies; general purpose technologies; structural change; human capital; regulation;

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models

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