New Economy - mixed opportunities for Germany

The Ifo Institute, in co-operation with Cambridge Econometrics and Prof. Jan-Egbert Sturm, University of Constance, has completed a study on the New Economy in Germany that analyses the relationships between information and communication technologies (ICT) and economic developments in Germany. The particular focus was on whether positive effects can be expected, such as a rise in productivity in Germany. For the two industries and service sectors examined, a high diffusion of ICT was revealed but none of the expected positive effects.