Revolutionary Effects of New Information Technologies

Bibliographic Data

ID9713573
AuthorsGerard J Van Den Berg (0000-0001-7354-7486, Free University Amsterdam, IFAU‐Uppsala, IZA, Institute of Fiscal Studies, CEPR, Tinbergen Institute, and INSEE‐CREST., corresponding author)
Year2006
Volume116
Issue509
PagesF10-F28
Publication date2006-02-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueThe Economic Journal (JOURNAL)
Journal identifiersISSN: 0013-0133 • E-ISSN: 1468-0297
PublisherOxford University Press (OUP) (PUBLISHER)
DOI10.1111/j.1468-0297.2006.01062.x
OpenAlexW2037065129
LanguageEN
Citations received2
References cited21

In markets with imperfect information and heterogeneity, the information technology affects the rate at which agents meet, which affects the distribution of production technologies across firms. Multiple equilibria may arise because the reservation utility and the lowest production technology in use affect each other. The adoption of novel information technologies may then entail a revolution in the sense of a move from an inefficient to equilibrium. Inefficient production technologies are swiftly moved even in sectors where the new information technology has only recently been introduced. The results apply to consumer products, labour, intermediates and institutions. © Royal Economic Society 2006

Business · Distribution (mathematics · Economics · Emerging technologies · Imperfect · Industrial organization · Information technology · Microeconomics · Perfect information · Production (economics · Reservation · Auction Theory and Applications · Computer Science · Consumer Market Behavior and Pricing · Digital Platforms and Economics

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