The Contribution of ICT-Producing and ICT-Using Industries to Productivity Growth: A Comparison of Canada, Europe and the United States

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Abstract

This article compares the industry-level contribution of ICT-producing and ICT-using industries to labour productivity growth in Canada, the United States, and Europe over 1990–2000. It finds that while productivity growth accelerated in both Canada and the U.S. in the second half of the 1990s, the U.S. acceleration was much larger and driven more strongly by ICT-using industries. Canada occupied an intermediate position between Europe and the United States in the contribution of ICT-using industries, possibly reflecting its intermediate position between Europe’s stricter product and labour market regulation and the more flexible U.S. environment.

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