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Economic Growth in the New Economy: Evidence from Advanced Economies

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  • Jukka Jalava
  • Matti Pohjola

Abstract

By definition, the 'New Economy' is an economy where business firms have learnt to take advantage of both the ICT revolution and the globalization of business activities in ways which improve productivity. First, by surveying recent research findings, this paper confirms that both the production and use of ICT have been the factors behind the improved economic performance of the United States in the 1990s. The benefits from ICT use are likely to have exceeded the benefits from ICT production. However, the evidence for the New Economy is much weaker outside the United States.

Suggested Citation

  • Jukka Jalava & Matti Pohjola, 2001. "Economic Growth in the New Economy: Evidence from Advanced Economies," WIDER Working Paper Series DP2001-05, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:dp2001-05
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