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This book focuses on the contribution of Information Technology (IT) and Information Technology Enabled Services (ITES) in shaping the current and future global economic scenario, with a special focus on Asia, and taking into account the three broad macroeconomic dimensions — growth, sustainability and governance mechanisms. The last two decades have witnessed a structural shift in the world economy due to the tremendous growth in gross domestic product share for the service sector; in fact, service has emerged as the dominant sector and the main driver of GDP growth. This is mainly attributable to the spectacular success of the IT sector in the new knowledge economy. Tradability, technology and transportability – the three T’s – govern productivity growth in today’s services. Growing Asian economies such as India, China and Vietnam, using their demographic advantages, have been reaping the benefits of this boom. The book’s content focuses on recent debates and discussions concerning the issue of long-term sustainability and governance, especially in India, as these companies are facing continuous challenges in terms of international competition, salary inflation, health hazards, scarcity of talent, employee attrition, security concerns, global slowdown and many other technology-related issues. The book further highlights how the increased application of IT-based products and services is resulting in harsh inequalities concerning income distribution in many developing countries of Asia, mainly because of its labor shedding nature, and hence might be detrimental to sustainable development, if suitable policy measures are not implemented to counter these effects. The book provides a wealth of information for researchers, graduate students and political scientists alike, as well as thought-provoking insights for social scientists, policymakers and government officials. It also offers a valuable source of data for business and management professionals, and for members of Chambers of Commerce and Industry.
The contribution of the information and communication technology (ICT) sector to growth in Asian economies is clearly evident from the expenditure side (net exports) and became particularly significant in the second half of the 1990s. This paper employs an extension of the standard growth accounting framework, using estimates of stock of ICT capital (hardware, software, and telecommunications equipment), to estimate the direct contributions to growth. The contribution of ICT to growth in Asia during the 1990s is found to be mainly from capital deepening. Total factor productivity (TFP) is also decomposed (using the dual-or revenue-based-approach) into the contributions of non-ICT capital stock, ICT capital stock, and labor. TFP growth is found to be relatively small in most Asian countries.
The information and communications technology (ICT) revolution that swept the world through the 1990s has impacted the economic, political, and social structures of countries throughout Asia. These have presented themselves both as digital opportunities as well as challenges. This volume presents a collection of papers by scholars on the new development paradigms afforded by this new technology, from the experience of the software capital of Bangalore to the policy dilemmas faced by transition economies such as Vietnam.
Examines the impact IT has on politics, education, sociology, and technology. Focuses on the benefits of IT for developing countries, whose problems must be solved, and obstacles overcome in order to further IT advancement.
This work compares IT parks in China, India, Malaysia, Singapore, Taiwan, and Hawaii, in search of strategies that policy makers can employ to reduce the Global Digital Divide, advance distributional equity and soften some of the negative effects of economic globalization.
Development of IT/e-business is a centerpiece of renewed economic growth in most countries of East Asia. This paper considers the challenges for policy focusing on the acquisition of knowledge and its utilization. While many countries in East Asia are well along the way toward upgraded production of IT related products, the softer aspects of IT and e-business are a greater challenge. They will call for policies that provide the needed infrastructure, and, particularly, they will pose a challenge in developing human capital.
World Bank Discussion Paper No. 326.Draws on the successful experiences of five East Asian economies--Japan, the Republic of Korea, Singapore, Taiwan (China), and Hong Kong--to show how they have exploited the opportunities made possible by the information technology revolution and built sustainable competitive advantages in many high-value-added industries and services. The study examines the role of government in unleashing private-sector response, promoting the information technology industry, diffusing technology, and focusing resources on strategic elements of the national information infrastructure. It also explores the role of the private sector in influencing the development and use of the new technologies.
Annotation 'Contribution of Information and Communication Technologies to Growth' is part of the World Bank Working Paper series. These papers are published to communicate the results of the Bank's ongoing research and to stimulate public discussion. The worldwide development of information and communication technology (ICT) has accelerated dramatically over the past decade. Technological advances and increased competition have led to falling prices for ICT goods and services, which has provided a strong incentive to replace other forms of capital and labor with information technology equipment. Increased ICT production and use has the potential to create job opportunities, transfer skills, and increase efficiency and transparency in politics and business, and therefore, contribute to economic growth. This paper focuses on the linkage between ICT and output growth. It summarizes findings in the literature on the contribution of information and communication technology to economic growth arising from capital deepening and increases in total factor productivity. The paper contains: - The methodologies used to evaluate the different ways ICT influences productivity growth; - A critical assessment of the magnitude of ICT's contribution to growth in various countries; - A summary of the key factors that increase and obstruct ICT expansion; and - An outline of the challenges developing countries face in maximizing ICT's contribution to growth and policy recommendations aimed at surmounting these challenges.
This paper considers key factors in the contribution of information and communication technology (ICT) developments to economic growth. Issues discussed include: methodologies used to evaluate how ICT influences productivity growth; a critical assessment of its contribution to growth in various countries; factors that increase and obstruct ICT expansion; the challenges developing countries face in realising the growth potential of ICTs and policy recommendations aimed at surmounting these challenges.