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Information Technology, Productivity, and Economic GrowthInternational Evidence and Implications for Economic Development$
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Matti Pohjola

Print publication date: 2001

Print ISBN-13: 9780199243983

Published to Oxford Scholarship Online: October 2011

DOI: 10.1093/acprof:oso/9780199243983.001.0001

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PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 17 January 2022

Computers and Economic Growth in Finland

Computers and Economic Growth in Finland

(p.175) 8 Computers and Economic Growth in Finland
Information Technology, Productivity, and Economic Growth


Oxford University Press

The potential of using computers has been evident in how the prices of information processing has experienced a sharp decline, and in how computing power has undergone rapid development and expansion. As such, several governments and companies have opted to invest on IT, emphasizing how these organizations tend to be optimistic about future gains and possible payoffs. However, certain doubts have been expressed, such as the ‘Solow paradox’ which question the role of IT in improving productivity. As can be observed in the data of Finland' nonresidential business sector, productivity has not exhibited rapid growth through investing on computer use. This chapter looks into the economic impacts of computer technology in Finland and investigates the underlying policy issues for such large-scale efforts.

Keywords:   information processing, computing power, Solow paradox, Finland, nonresidential business sector, policy issues, economic growth

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