Book Chapter
Information Technology and Economic Development

Especially in industrialized countries, information technology has manifested itself in several aspects of life. However, doubts such as the ‘productivity paradox’ remain since there have been disputes about the real worth and contributions of IT investments and other such dimensions of technological progress. For the US and other developed countries, studies have shown that there is a declining productivity growth in this sector. If indeed IT is the key to economic growth and innovation, developing countries will be at a loss if they do not adopt these developments immediately. This chapter emphasizes the need for both qualitative and quantitative data analyses for proceeding with a cross-country analysis of economic growth and development. Also, it looks into the various implications of this data in formulating international and national policies.