The New Economy and the Role Played by the ICT Producing Sectors: Recent Trends and Comparisons Acro

1
The New Economy and the Role Played by the ICT
Producing Sectors Recent Trends and Comparisons
Across OECD Countries

• Alessandra Colecchia (OECD)

2
International comparisons ICT Sector

• What is the ICT sector?
• Who are the ICT producers?
• Whats its contribution to economic activity?
• Does its size matter to growth and productivity?

OECD
3
The ICT sector OECD definition
OECD
4
Who are the ICT producers?
Share of ICT manufacturing and service production
in total manufacturing and service production,
2000
OECD
5
Who are the ICT exporters?
ICT manufacturing export specialisation
OECD
6
ICT contribution to economic activity, still
small but growing
Share of ICT value added in business sector value
added
OECD
7
ICT contribution to innovationEurope lagging
behind
ICT patents as a of total national patents
filed at EPO,for priority years 1990, 11998

45
1998
1990
30
OECD
EU
15
0
UK
Italy
US
Spain
Korea
Japan
Ireland
France
Austria
Finland
Iceland
Greece
Norway
Sweden
Canada
Belgium
Portugal
Denmark
Germany
Netherlands
OECD
8
The increasing contribution of ICTto the economy
Percentage point contribution of ICT and other
capital services to output growth,
1995-2000.Business sector, harmonised price index
OECD
9
Mostly ICT capital substitution?
Index of capital composition (quality),
1995-2000harmonised deflator, business sector
OECD
10
Production or Use?
Contribution of ICT-producing and ICT-using
sectors to labour productivity growth (), 1995-99

3.0
2.5
ICT-producing
ICT-using
Non-ICT
2.0
1.5
1.0
0.5
0.0
UK
Italy
-0.5
France
Japan
Finland
Canada
Denmark
Germany
Netherlands
United States
OECD
11
ICT-manufacturing industries and growth
Contribution of ICT manufacturing industriesto
labour productivity growth
OECD
12
ICT service industries and growth
Contribution of ICT service industriesto labour
productivity growth
1.0
1990-95
1996-2000
0.8
0.6
0.4
0.2
0.0
UK
Italy
USA
Spain
Korea
Japan
Austria
France
Ireland
Finland
Mexico
Norway
Canada
Belgium
Sweden
Denmark
Germany
Switzerland
Netherlands
OECD
13
Summing up

• ICT sector, small but growing
• Different composition of ICT-producing industries
  across OECD
• Europe lagging behind in ICT specialisation and
  ICT diffusion
• ICT sector, contributes to growth but not a
  panacea

OECD