Aggregate Productivity Growth and the Contribution of Japan's ICT Assets: Isn't It Anther Puzzule?

This study is intended to examine whether infermation and communications technology （ICT） has contributed to aggregate productivity growth in Japan over the last two decades． Growth accounting analysis yields two observations． First，　 investment’ in lCT　accelerated　in Japan in the 1980s and slowed down in the 1990s． Second， the periodical changes of multifactor productivity growth and the contribution of lCT capital assets have always run in a parallel direction since the 1980s． Therefore， the “Solow paradox” has never been observed in Japan． Nevertheless， another puzzle emerges： why did Japan’s investment in lCT slow down in the 1990s in spite of its potential for productivity growth？ A possible explanation　might be that there have been some impediments in the Japanese economic system to reap the benefits of information and communications technology．