nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2006‒12‒09
six papers chosen by
Walter Frisch
University Vienna

  1. Do ICT Skill Shortages Hamper Firms’ Performance? By John Forth; Geoff Mason
  2. IT Adoption Strategies and their Application to e-filing Self-Assessment Tax Returns: The Case of the UK By Ann Hansford, Andrew Lymer and Catherine Pilkington
  3. Adaptive Estimation of Autoregressive Models with Time-Varying Variances By Ke-Li Xu; Peter C.B. Phillips
  4. The Returns to General versus Job-Specific Skills: the Role of Information and Communication Technology By Simon Kirby; Rebecca Riley
  5. The strategic support of CRM in the governance of the relationships between data and knowledge: the Balanced Score Card approach. By Antonio Lorenzon; Luciano Pilotti; Peter Van Baalen
  6. Informational externalities and convergence of behavior By Vieille, Nicolas; Rosenberg, Dinah; Solan, Eilon

  1. By: John Forth; Geoff Mason
    Abstract: In light of the increased relative demand for skilled labour associated with Information and Communication Technologies (ICTs), we combine survey data for UK enterprises in 1999 with post-survey financial data for the same enterprises to assess the impact of ICT skill shortages on firms’ financial performance. There is clear evidence that ICT skill shortages have an indirect negative impact on performance through the restrictions that such deficiencies place on ICT adoption and on the intensity of ICT use post-adoption. However, there is only weak evidence of skill shortages impinging directly on performance at given levels of ICT adoption and utilisation.
    Date: 2006–09
  2. By: Ann Hansford, Andrew Lymer and Catherine Pilkington
    Abstract: This article considers Information Technology (IT) adoption strategies as applied to the particular circumstances of e-filing UK Self Assessment (SA) Tax returns . It reports the findings from a study that involved three interested groups in the UK; tax advisers, tax authorities and software providers. IT adoption issues, as applied to a wide range of business situations, are considered in detail in order to set the study into context. The current study, which builds on the findings of a previous UK quantitative study, involved ten in-depth interviews with representatives from the three interested groups – tax advisers, tax authorities and software providers - in order to consider broader aspects of e-filing SA tax returns. The interviews identified that IT adoption is usually a ‘top-down’ decision. The availability of suitable and developing IT tax software is important for tax advisers; as is the perception of the user-friendliness of the HM Revenue and Customs (HMRC) IT system. Pre-adoption concerns for tax advisers mainly centred on how e-filing would fit in with their current practice and the benefits, or otherwise of introducing IT. Post-adoption discussion centred on the wider benefits of IT adoption and the ease of use of the e-filing systems. Tax advisers in the study were clear about areas that could influence their decisions to e-file SA tax returns. Getting over the apprehensiveness of the reluctant IT adopters required good software products that fitted in with other office functions, overcoming any reluctance to trust HMRC IT capabilities and operational efficiencies. Security and privacy were of significant concern to tax advisers but visibility was of little importance. Overall, there was a positive assessment of e-filing SA tax returns. The study showed that e-filing was expected to expand to all but the most reluctant tax adviser practices within the next five years.
    Keywords: e-filing, tax, tax law, self-assessment, tax returns, IT, UK, tax administration
    Date: 2006–10–17
  3. By: Ke-Li Xu (Dept. of Economics, Yale University); Peter C.B. Phillips (Cowles Foundation, Yale University)
    Abstract: Stable autoregressive models of known finite order are considered with martingale differences errors scaled by an unknown nonparametric time-varying function generating heterogeneity. An important special case involves structural change in the error variance, but in most practical cases the pattern of variance change over time is unknown and may involve shifts at unknown discrete points in time, continuous evolution or combinations of the two. This paper develops kernel-based estimators of the residual variances and associated adaptive least squares (ALS) estimators of the autoregressive coefficients. These are shown to be asymptotically efficient, having the same limit distribution as the infeasible generalized least squares (GLS). Comparisons of the efficient procedure and ordinary least squares (OLS) reveal that least squares can be extremely inefficient in some cases while nearly optimal in others. Simulations show that, when least squares work well, the adaptive estimators perform comparably well, whereas when least squares work poorly, major efficiency gains are achieved by the new estimators.
    Keywords: Adaptive estimation, Autoregression, Heterogeneity, Weighted regression
    JEL: C14 C22
    Date: 2006–10
  4. By: Simon Kirby; Rebecca Riley
    Abstract: This paper examines the effect of information and communication technologies (ICT) on the return paid to two different types of skill: general skills, acquired through schooling and work experience, and job-specific skills, acquired by experience in a particular job. Using the UK Labour Force Survey we estimate skill returns in different industries over the period 1994-2001. We evaluate the marginal effect on these returns of the ICT intensity of industry capital and find that the shift towards ICT capital has been associated with a rise in the return to general skills and a reduction in the return to job-specific experience.
    Date: 2006–06
  5. By: Antonio Lorenzon (University of Milano); Luciano Pilotti (Department of Economics, Business and Statistics); Peter Van Baalen (RSM-Rotterdam School of Management)
    Abstract: The term CRM, Customer Relationship Management, is one of the most used word both in Marketing and IT literature and applications. This term is most of the time used as a replacement of a misleading narrow term: Relationship Management (RM). Operations, Customer Service, Sales, human resources, credit controls are essential ingredients in the customer satisfaction blender. So, as a matter of fact, we can conclude that the definition of CRM is also its objective: the development and maintenance of mutually beneficial long-term relationships with strategically significant customers. All this focus on customers and their needs comes from a shift from a mass marketing approach, through market segmentation, to an individualised marketing. This one-to-one marketing strategy is connected also with a more and more delocalised access to the markets from the logistics and distribution partners that implicates much more real-time expectations of the customers. So the market started to move from a product oriented structure to a customer oriented one but, unfortunately not all the companies haven't adapted their organization to the new requests of the new "customer centric era". This new approach is completely aligned with the strategic introduction of a Balanced Scorecard (Norton, Kaplan, 1999) solution where the customer management processes are one of four basic assets in the development of new business philosophy where the dynamic development of a company can't be measure with static indicator but it has to be conceptualized as a whole organizational growing where knowledge management is key capital factor.
    Keywords: Customer Relationship Management, Knowledge Management, Marketing, Balanced Score Card,
    Date: 2006–09–18
  6. By: Vieille, Nicolas; Rosenberg, Dinah; Solan, Eilon
    Abstract: This paper presents a general model of information dissemination
    Keywords: private information; behavior; knowledge
    JEL: D82 D83
    Date: 2006–10–28

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