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Is there still a productivity paradox? Two methods for a transatlantic comparison

Author

Listed:
  • Fabrice Gilles

    (LEM - Lille économie management - UMR 9221 - UA - Université d'Artois - UCL - Université catholique de Lille - ULCO - Université du Littoral Côte d'Opale - Université de Lille - CNRS - Centre National de la Recherche Scientifique)

  • Yannick L'Horty

Abstract

Economic activity accelerated in the United States, in the second part of the cycle, after 1995, within an environment of decreasing inflation. France has followed a qualitatively similar path since 1997, also clearly suggesting the effects of a positive supply shock. The spread of new information and communication technologies (NICT) partly explains these singular events. On one hand, a calculation of contributions to output growth suggests that they would explain about half of the increase in activity in the United States and one-fifth in France. On the other hand, a trend/cycle decomposition reveals that the structural acceleration in output and productivity gains in the United States are very much restricted to industries producing NICT and there is a rather small break in productivity gains. In France, where differences between sectors are not so clear-cut, the diffusion of NICT has been accompanied by a slowdown in trends in productivity gains. In both cases, there is little room left for the effects of the diffusion of technical progress associated with NICT.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Fabrice Gilles & Yannick L'Horty, 2005. "Is there still a productivity paradox? Two methods for a transatlantic comparison," Post-Print halshs-01917522, HAL.
    • Handle: RePEc:hal:journl:halshs-01917522
    DOI: 10.1080/1043859042000269061
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    Cited by:

    1. Yannick L’Horty & Christophe Rault, 2005. "The Impact of Growth, Labour Cost and Working Time on Employment: Lessons from the French Experience," LABOUR, CEIS, vol. 19(3), pages 595-620, September.
    2. Yoann Barbesol & Thomas Heckel & Simon Quantin, 2008. "Élasticité de la production au capital informatique : estimations à l’aide de données d’entreprises," Économie et Statistique, Programme National Persée, vol. 419(1), pages 55-71.

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