IT and the Economy Are Experiencing Growing Pains

Bob Hayward
Senior Vice President
Gartner



John Roberts
Vice President
Gartner

Just a few years ago, information and communication technology (ICT) was hailed as a vital component of the "new economy" and the "information revolution," transforming the way we live and work. The dominant theory was that IT was a major factor in economic growth and rising productivity. Governments have promoted the benefits of a connected society, supported ICT infrastructure development and moved toward online service delivery.

However, some business leaders are now blaming IT for the global economic decline. The contribution of IT to economic growth is being questioned, venture capitalists have turned their attention to other areas and IT is no longer featured as prominently in the media.

Back To Report Home






 An annotated bibliography of the major works in which economists and others have debated the economic impact of IT.
29 July 2002 |  Paolo Magrassi   Bob Hayward   Angelo Panarella   		 
 
 
 
 
 
 
 


Governments must create an open and competitive framework to enable the full benefits of information technology to be realized at the macroeconomic level.
16 July 2002 |  Bob Hayward   John Roberts   		 
 
 
 
 
 
 
 


Governments use and regulate information and communication technology (ICT) markets. However, the link between their actions, ICT, gross domestic product and productivity is elusive.
24 July 2002 |  Andrea Di Maio   		 
 
 
 
 
 
 
 


The implementation of an IT solution alone will not produce a better business outcome. Only the transformation of associated processes can produce benefits.
17 July 2002 |  John Roberts   Rolf Jester   		 
 
 
 
 
 
 
 




The global IT industry has fallen into disillusionment and self-doubt. However, the resulting shakeout will lead to more value-focused IT vendors and users that make wiser technology investments.
16 July 2002 |  Bob Hayward   John Roberts   		 
 
 
 
 
 
 
 


Despite evidence that a local IT-producing sector is not required to ensure the benefits of IT investment for growth, there are sound reasons governments should encourage the development of a local IT-producing capability.
31 July 2002 |  Bob Hayward   		 
 
 
 
 
 
 
 


To accurately gauge IT's real impact on productivity, noneconomic dimensions — such as speed and convenience — must be added as a valuable part of output.
24 July 2002 |  Bill Rosser   		 
 
 
 
 
 
 
 


Despite the lack of a local IT industry, Australia has benefited from IT by providing more capital stock of computers and software to workers. The link between IT investment and improved productivity must be emphasized.
16 July 2002 |  Bob Hayward