Downloads - empirica

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Downloads - empirica

e-Business in the chemical, rubber and plastics industryNo. Hypotheses ResultsP.1 ICT-capital investment has becomea main element in value added andproductivity growth in the in theCRP industry, while other capitalinputs summarised as non-ICTcapitalhave diminished in theirrespective importance.P.2 TFP growth in the CRP industrieshas accelerated together withincreased investment in ICT-capital.P.3 ICT has together with high- andmedium-skilled labour positiveimpact on output growth.Cannot be confirmed. Growth accountingpoints at larger impact of non-ICT capitalinputs; SPF analysis points atintermediate inputs as key drivers oflabour productivity growth. ICT by itself isnot the key driver of growth in this sector.No significant average annual rate oftechnical progress for the commonpossibility frontier was found.Labour quality change from low-skilledtowards medium- and high-skilled labourhad a positive growth impact indicatesa skill-biased technological change withICT-capital as its complementary factordriving growth of the CRP industries.nono(yes)With regard to Hypothesis P.1, there is mixed evidence On the one hand, growthaccounting confirms that, on the whole, ICT-capital played an important role in thisindustry in all countries. On the other hand, the analysis based on a stochastic possibilityfrontier revealed that, due to greater detailed structure on the labour inputs decomposedon skill-classes and the inclusion of intermediate inputs, the direct positive link betweenICT-capital investments and labour productivity growth is probably much weaker. Humancapital inputs, organisational changes incorporated in the total factor productivity growth,outsourcing of non-core activities included in the intermediate inputs play a predominantrole rather than pure ICT-capital growth.With regard to Hypothesis P.2, there is some preliminary evidence concerning the timestructure when TFP-growth accelerates. The standard approach in growth accountingtypically assumes that TFP-growth instantaneously increases with increased investmentsin ICT-capital. This view raises caveats, however, as there may be a time lag betweenthe initial investment and implementation of new technology (and the respectiveorganisational changes) and their actual impact on TFP-growth. 126 This might partlyexplain the mixed results found in the EU-KLEMS database when comparing the changesbetween ICT-capital stock growth and TFP-growth across the sample of EU MemberStates for the two time periods 1980-1995 and 1995-2004 (see Exhibit 4.1-2). Thehypothesis that there is an instantaneous impact of ICT-capital investments on total factorproductivity growth has to be refuted on the basis of this empirical analysis.Hypothesis P.3 was largely confirmed (see Section 4.1.3). The analysis indicates a skillbiasedtechnological change with ICT-capital as the complementary factor driving growthof the CRP industries. However, it was also found that moderate labour quality changesare of secondary importance.126 This was confirmed, for example, for the telecommunication industry by an analysis on the J-curve of innovation (Erber 2005, Aral, Brynolfsson, Wu 2006).109

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