nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2015‒08‒01
four papers chosen by
Walter Frisch
Universität Wien

  1. Information Technology's Impacts on Productivity, Welfare and Social Change: General Observations By Tisdell, Clem
  2. Digital piracy and the perception of price fairness By Michal Krawczyk; Anna Kukla-Gryz; Joanna Tyrowicz
  3. The BPO Challenge: Leveraging Capabilities, Creating Opportunities By del Prado, Fatima
  4. Content Aggregation by Platforms: The Case of the News Media By Lesley Chiou; Catherine Tucker

  1. By: Tisdell, Clem
    Abstract: There has been a rapid increase in global expenditure on information technology and there is still much to learn about its effects on productivity, welfare and social change. At the macro-level, it has been estimated that Internet-related value accounts for as much as 7% of GDP of some OECD economies. As discussed, two basic methods have been used to estimate the contribution of ICT to the growth in GDP. Estimates of this vary considerably but it seems that ICT’s contribution is increasing. Currently, GDP is expected to increase by about 1% for a 10% rise in ICT-capital. All industries have had added value as a result of the introduction of ICT but the overall aggregate effect is largest for the tertiary (service) sector. It is shown how the Internet can increase economic productivity (1) by reducing input costs and (2) raising allocative efficiency within enterprises. Other ways in which Internet access can increase economic welfare are via reduced market transaction costs and a decline in material and transport costs as well as by increasing the variety of available commodities. These aspects are analyzed and discussed critically. Attention is also given to the employment consequences of the use of ICT, associated health issues, and the impacts of ICT on social interaction and the environment. It is suggested that the use of the Internet for consumption may exceed it use for production. Additional matters touched on are the consequences for economic performance of ICT in education and research and in the health industry, as well as the comparative benefit of ICT to rural residents compared to city-dwellers. In conclusion, it is noted that not all IT depends on the Internet and that non-Internet IT has had little economic attention.
    Keywords: economic welfare, education and ICT, ICT, information technology, Internet, market transaction costs, productivity, social change, Research and Development/Tech Change/Emerging Technologies, O3, D2, D6,
    Date: 2014–07
    URL: http://d.repec.org/n?u=RePEc:ags:uqseet:174091&r=ict
  2. By: Michal Krawczyk (Faculty of Economic Sciences, University of Warsaw); Anna Kukla-Gryz (Faculty of Economic Sciences, University of Warsaw); Joanna Tyrowicz (Faculty of Economic Sciences, University of Warsaw; National Bank of Poland)
    Abstract: We focus on the relationship between pricing of cultural goods and willingness to download their unauthorized versions. Building on equity theory we propose that perceiving a price as overly high provides a self-justification for downloading content from unauthorized sources. In a large-scale online experiment on customers of a major e-book store we employ the Bayesian Truth Serum to induce truthful confessions of acquiring content from unauthorized sources. We confirm that self-reported downloading from unauthorized sources is associated with having experienced overpricing. We also relate it to endorsing relatively positive views on the role of file-sharing services and believing that "pirate's" motives are relatively principled, while those of abstainers are rather pragmatic.
    Keywords: inequality, longevity, defined contribution, defined benefit, Gini
    JEL: A13 C93 D12
    Date: 2015
    URL: http://d.repec.org/n?u=RePEc:war:wpaper:2015-24&r=ict
  3. By: del Prado, Fatima
    Abstract: As the Asia-Pacific Economic Cooperation (APEC) seeks to promote free trade and economic cooperation in the Asia-Pacific region, cross-border ICT-enabled services and business process outsourcing (BPO) are expected to contribute to economic integration and growth in the region. ICT-enabled services have grown significantly over the years and across many parts of the globe including several developing countries in the Asia-Pacific region. While there may not be a single standard approach to developing the ICT-BPO sector, the successful experiences of developing countries can provide useful insights and practical lessons for countries contemplating to set up their ICT-BPO service industries. Using data from the Philippines, this paper describes the evolution of ICT-BPO services exports in the country and examines the factors that facilitated its transition from providing low-end contact center services to back-office operations, and to higher value-added services. The paper also reviews some of the APEC initiatives relevant to the growth and expansion of ICT-BPO services in the region. The Philippine experience has shown that IT-BPO services is one area of trade in services where developing countries can take a shot at sustainable development, without relying so much on traditional primary industries and natural resource. Although the presence of an educated workforce and good telecommunication infrastructure do not always guarantee success in this area, the investments in human capital and critical telecoms infrastructure--considered by many as a backbone for other important industries--are more than enough reward for the decision or attempt to pursue and board the IT-BPO bandwagon. There is still enough space and opportunity for other developing countries to "build appropriate domestic capacity" to effectively participate in this sector.
    Keywords: Philippines, information and communications technology (ICT), IT-BPO, services trade liberalization
    Date: 2015
    URL: http://d.repec.org/n?u=RePEc:phd:rpseri:dp_2015-36&r=ict
  4. By: Lesley Chiou; Catherine Tucker
    Abstract: The digitization of content has led to the emergence of platforms that draw information from multiple sources. Policymakers are concerned that these new platforms threaten incentives for the production of original content. As a result, policymakers are contemplating regulations that would force aggregation platforms to pay or require an explicit "opt-in" for content providers. To understand the possible consequences and underlying rationale of such laws, we explore whether aggregation of content by a single platform encourages users to "skim" content or to investigate in depth. We study a contract dispute that led a major aggregator to remove information from a major content provider. We find that after the removal, users were less likely to investigate additional, related content in depth, particularly sources that were horizontally or vertically differentiated.
    JEL: L63 L82 L86 L88
    Date: 2015–07
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:21404&r=ict

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