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Information Technology, Organizational Form, and Transition to the Market

Author

Listed:
  • John S. Earle

    (W.E. Upjohn Institute for Employment Research and Central European University)

  • Ugo Pagano

    (Central European University)

  • Maria Lesi

    (Central European University)

Abstract

The paper reviews theories of information technology adoption and organizational form and applies them to an empirical analysis of firm choices and characteristics in four transition economies: the Czech Republic, Hungary, Romania, and Slovakia. We argue that these economies have gone through two major structural changes-one concerning new technology and another concerning ownership and boundaries of firms-and we consider if and how each one of the two structural changes has affected the other. We test the impact of firm size, integration, and ownership on the extent of new information technology adoption (measured by growth in the fraction of employees using personal computers or computer-controlled machinery), and the impact of information technology on changes in the boundaries and the ownership structure of enterprises, drawing upon a sample survey of 330 firms.

Suggested Citation

  • John S. Earle & Ugo Pagano & Maria Lesi, 2002. "Information Technology, Organizational Form, and Transition to the Market," Upjohn Working Papers and Journal Articles 02-82, W.E. Upjohn Institute for Employment Research.
  • Handle: RePEc:upj:weupjo:02-82
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    References listed on IDEAS

    as
    1. Alchian, Armen A & Demsetz, Harold, 1972. "Production , Information Costs, and Economic Organization," American Economic Review, American Economic Association, vol. 62(5), pages 777-795, December.
    2. Erik Brynjolfsson, 1994. "Information Assets, Technology and Organization," Management Science, INFORMS, vol. 40(12), pages 1645-1662, December.
    3. Alan B. Krueger, 1993. "How Computers Have Changed the Wage Structure: Evidence from Microdata, 1984–1989," The Quarterly Journal of Economics, Oxford University Press, vol. 108(1), pages 33-60.
    4. Fabrizio Barca & Katsuhito Iwai & Ugo Pagano & Sandro Trento, 1999. "Post-War Institutional Shocks: The Divergence of Italian and Japanese Corporate Governance Models," Working Papers wp117, Centre for Business Research, University of Cambridge.
    5. Fabrizio Barca & Katsuhito Iwai & Ugo Pagano & Sandro Trento, 1998. "The Divergence of the Italian and Japanese Corporate Governance Models: The Role of Institutional Shocks," CIRJE F-Series CIRJE-F-32, CIRJE, Faculty of Economics, University of Tokyo.
    6. George P. Baker & Thomas N. Hubbard, 2002. "Make Versus Buy in Trucking: Asset Ownership, Job Design and Information," NBER Working Papers 8727, National Bureau of Economic Research, Inc.
    7. Hart, Oliver, 1995. "Firms, Contracts, and Financial Structure," OUP Catalogue, Oxford University Press, number 9780198288817.
    8. Meyer, Bruce D, 1995. "Natural and Quasi-experiments in Economics," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(2), pages 151-161, April.
    9. Ugo Pagano, 1999. "The Origin of Organizational Species," Working Papers wp118, Centre for Business Research, University of Cambridge.
    10. Kornai, Janos, 1992. "The Socialist System: The Political Economy of Communism," OUP Catalogue, Oxford University Press, number 9780198287766.
    11. Colombo, Massimo G. & Delmastro, Marco, 1999. "Some stylized facts on organization and its evolution," Journal of Economic Behavior & Organization, Elsevier, vol. 40(3), pages 255-274, November.
    12. Pagano, Ugo & Rowthorn, Robert, 1994. "Ownership, technology and institutional stability," Structural Change and Economic Dynamics, Elsevier, vol. 5(2), pages 221-242, December.
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    Citations

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    Cited by:

    1. Andren, Daniela & Earle, John S. & Sapatoru, Dana, 2005. "The wage effects of schooling under socialism and in transition: Evidence from Romania, 1950-2000," Journal of Comparative Economics, Elsevier, vol. 33(2), pages 300-323, June.
    2. Grüner, Hans Peter, 2009. "Information technology: Efficient restructuring and the productivity puzzle," Journal of Economic Behavior & Organization, Elsevier, vol. 72(3), pages 916-929, December.
    3. Landini, Fabio, 2013. "Institutional change and information production," Journal of Institutional Economics, Cambridge University Press, vol. 9(03), pages 257-284, September.
    4. Bottani, Eleonora, 2009. "A fuzzy QFD approach to achieve agility," International Journal of Production Economics, Elsevier, vol. 119(2), pages 380-391, June.
    5. Carlos e Silva & Geoffrey Hewings, 2012. "Locational and managerial decisions as interdependent choices in the headquarter-manufacturing plant relationship: a theoretical approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 48(3), pages 703-717, June.
    6. Pagano, Ugo, 2011. "Interlocking complementarities and institutional change," Journal of Institutional Economics, Cambridge University Press, vol. 7(03), pages 373-392, September.
    7. Erkan Gürpınar, 2016. "Organizational forms in the knowledge economy: a comparative institutional analysis," Journal of Evolutionary Economics, Springer, vol. 26(3), pages 501-518, July.
    8. Gustavo S. Cortes & Renato L. Marcondes & Maria Dolores M. Diaz, 2009. "A Importância da Organização Interna da Firma para o Processo de Fragmeção Espacial da Produção: uma Simulação," Working Papers 12-2011, Universidade de São Paulo, Faculdade de Economia, Administração e Contabilidade de Ribeirão Preto.
    9. Ugo Pagano, 2013. "Love, war and cultures: an institutional approach to human evolution," Journal of Bioeconomics, Springer, vol. 15(1), pages 41-66, April.
    10. Ugo Pagano, 2013. "Technical assets and property rights," Chapters,in: Handbook of Economic Organization, chapter 18 Edward Elgar Publishing.

    More about this item

    Keywords

    transition; economy; Earle; technology; organizational; form; Pagano; Lesi; Upjohn;

    JEL classification:

    • P1 - Economic Systems - - Capitalist Systems
    • P5 - Economic Systems - - Comparative Economic Systems
    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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