Lee Branstetter, Britta Glennon, J. Bradford Jensen, 21 August 2018

US firms have begun shifting R&D investment towards non-traditional destinations such as China, India, and Israel. The column argues that this is a response to a shortage in software and IT-related human capital within the US. When US multinationals are able to import talent or export R&D work, this reinforces US technological leadership. Conversely, politically engineered constraints on this response will undermine the competitiveness of US-based firms.

Leonardo Iacovone, Mariana Pereira-López, Marc Schiffbauer, 30 October 2017

In spite of its potential, the use of digital technology is still basic in most developing countries. This column presents evidence that firms in Mexico facing higher external competition have used IT more intensively and efficiently. External competition has encouraged them to make the necessary complementary investments in innovation and organisational changes.

Giordano Mion, Andrea Ariu, 25 February 2012

Services trade has increased dramatically in the last 20 years. This column examines data from Belgium and suggests that the change in IT use does not translate into higher services exports. It argues instead that offshoring is a key factor contributing to the rise of services trade.

Nicholas Bloom, Raffaella Sadun, John Van Reenen, 17 July 2007

It has taken a long time to confirm that computers boost productivity. The key seems to lie in management and internal organisation. That’s why IT has helped US firms so much more than their European counterparts.

Neil Gandal, Charles King, Marshall Van Alstyne, 23 April 2007

There has already been evidence suggesting that information technology (IT) makes significant contributions to productivity; the authors of CEPR DP 6260 explore its impact on individual users in a white-collar setting.

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