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Author:Srinivasan, Sylaja 

Working Paper
The case of the missing productivity growth: or, does information technology explain why productivity accelerated in the United States but not the United Kingdom?

Solow's paradox has disappeared in the United States but remains alive and well in the United Kingdom. In particular, the U.K. experienced an information and communications technology (ICT) investment boom in the 1990s in parallel with the U.S., but measured total factor productivity has decelerated rather than accelerated in recent years. We ask whether ICT can explain the divergent TFP performance in the two countries. Stories of ICT as a 'general purpose technology' suggest that measured TFP should rise in ICT-using sectors (reflecting either unobserved accumulation of intangible ...
Working Paper Series , Paper WP-03-08

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