What is it about?
Since the 1970s productivity growth in most economies slowed, while information and communication technology expenditures increased: the “information technology (IT) productivity paradox.” Some researchers reported an end to the paradox, but this is most likely due to IT industry growth approaching the Year 2000 phenomenon
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Why is it important?
Lack of convincing evidence supporting positive effects from IT investment suggests some firms benefit from IT investment, but not others, and that IT investment has questionable returns
Perspectives
Firm level studies might find IT investment benefits some firms, but lack of convincing macroeconomic level evidence of positive effects of IT investment suggests the paradox still exists, and that we need to more fully understand the effects of IT on firms and society
Dr Julian M Sims
Birkbeck University of London
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This page is a summary of: Information technology (IT) productivity paradox in the 21st century, International Journal of Productivity and Performance Management, April 2015, Emerald,
DOI: 10.1108/ijppm-12-2012-0129.
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