Working Paper: NBER ID: w11800
Authors: Dale W. Jorgenson; Koji Nomura
Abstract: This paper presents new data on the sources of growth for the Japanese economy over the period 1960- 2000. The principal innovation is the incorporation of detailed information for individual industries, including those involved in the production of computers, communications equipment, and electronic components as information technology equipment. We show that economic growth is dominated by investments and productivity growth in information technology, both for individual industries and the economy as a whole. We also show that the revival of total factor productivity growth accounts for the modest resurgence of the Japanese economy since 1995.
Keywords: Japanese economic growth; information technology; productivity growth; capital accumulation
JEL Codes: C82; D24; E23
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| IT investment (G31) | productivity growth (O49) |
| decline in IT prices (L86) | productivity growth (O49) |
| productivity growth (O49) | economic growth (O49) |
| IT advancements (L96) | decline in IT prices (L86) |