Information Technology and Economic Growth: Comparison between Japan and Korea

         
Author Name KANAMORI Takahito  (the University of Tokyo) /MOTOHASHI Kazuyuki  (Faculty Fellow, RIETI)
Creation Date/NO. March 2007 07-E-009
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Abstract

In this paper we compare sources of economic growth in Japan and Korea from 1985 to 2004, focusing on the role of information technology (IT), based on the framework of Jorgenson and Motohashi (2005). In both countries, the information technology industry is an important source of economic and productivity growth from the output side. In addition, active IT investments are supposed to lead to substantial IT capital service contribution to economic growth from the input side.