Diffusion of ICTs and Growth of the French Economy over the Long-term, 1980–2000

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Abstract

This article estimates the impact of ICT capital inputs on output and labour productivity growth in France over 1980–2000 using a growth accounting framework. It finds that the ICT contribution to value-added and productivity growth, while modest overall at 0.25 per cent per year, increased to 0.36 per cent per year since 1995. The article discusses methodological uncertainties around the measurement of ICT capital, including differences in treatment of software between France and the United States, and argues that ICT investment is a significant driver of French productivity even if smaller in magnitude than in the U.S.

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