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What Explains the ICT Diffusion Gap Between the Major Advanced Countries? An Empirical Analysis

Author

Listed:
  • Gilbert Cette

    (Centre de recherche de la Banque de France - Banque de France)

  • Jimmy Lopez

    () (DGEI-DEMS - Banque de France - Direction Générale des Etudes et des relations Internationales, Direction des Etudes Microéconomique et Structurelles , GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique - AMU - Aix Marseille Université - EHESS - École des hautes études en sciences sociales)

Abstract

Over the last few years, a large body of literature has shown that the level of information and communications technology (ICT) diffusion, and, as a result, the favorable effects of this diffusion on productivity, differ greatly between the major advanced countries, with the United States the country where ICT diffusion is strongest. This study aims to explain empirically this gap. Annual macroeconomic panel data are used for the period 1981-2005 and cover eleven OECD countries and the United States. The estimates obtained provide insight into the factors determining ICT diffusion and the gaps in this diffusion vis-à-vis the United-States. Compared to the United States, the lower ICT diffusion in the other major advanced countries can be explained by a smaller share of the population with a higher education and/or a higher level of rigidity in labour and product markets.

Suggested Citation

  • Gilbert Cette & Jimmy Lopez, 2008. "What Explains the ICT Diffusion Gap Between the Major Advanced Countries? An Empirical Analysis," Post-Print hal-01247387, HAL.
  • Handle: RePEc:hal:journl:hal-01247387
    Note: View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-01247387
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    Cited by:

    1. repec:crs:ecosta:es419-420b is not listed on IDEAS
    2. Bilal MEHMOOD & Parvez AZIM, 2013. "Does ICT Participate in Economic Convergence among Asian Countries: Evidence from Dynamic Panel Data Model," Informatica Economica, Academy of Economic Studies - Bucharest, Romania, vol. 17(2), pages 7-16.
    3. Gilbert Cette & Anne Epaulard & Pauline Givord, 2008. "Croissance de la productivité : le rôle des institutions et de la politique économique," Économie et Statistique, Programme National Persée, vol. 419(1), pages 3-10.
    4. Philippe Aghion & Philippe Askenazy & Renaud Bourlès & Gilbert Cette & Nicolas Dromel, 2008. "Distance à la frontière technologique, rigidités de marché, éducation et croissance," Économie et Statistique, Programme National Persée, vol. 419(1), pages 11-30.

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    Keywords

    Productivity; Regulations; ICT; Investment;

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