In this study, we first create Japan's IT capital stock by 22 industries from 1986 to 2007, and then we estimate several types of production function models. This study reveals two interesting observations. Firstly, IT capital stock positively contributes to the output growth. Secondly, nevertheless, investment in IT has been sluggish in many industries. These results suggest that the Japanese economy faces an anomaly “puzzle” why IT investment has been stagnant over the last two decades in spite of its positive potentials to the economic and productivity growth.
|Translated title of the contribution||The Contribution of IT Investments to Japanese Economic Growth at the Industry Level: Evidence from the 1986-2007 Period|
|Publication status||Published - Jul 2012|
All Science Journal Classification (ASJC) codes
- Economics, Econometrics and Finance(all)