Some of the recent “hype” about how advances in technology are forging a “new economy” has evaporated. Interest in “dot.com” start-up companies in the US has waned with the decline in stock market valuations. Some of the more extravagant claims – in particular, that the “new...

Work by Aschauer (1989) triggered a debate in the United States on the role played by public capital in determining productivity and growth; more recently, infrastructure has become an issue in the Canadian public policy debate. This paper sheds some light on this debate by addressing three...

We apply econometric techniques to Canadian and U.S. industry data to ascertain whether information technology capital gives rise to externalities. The results based on standard panel data techniques are compared to those that accommodate heterogeneous and dynamic panel data. Much like the...