ICT and Resilience in Times of Crisis: Evidence from Cross-Country Micro Moments Data

27 Pages Posted: 16 Aug 2017

See all articles by Irene Bertschek

Irene Bertschek

ZEW – Leibniz Centre for European Economic Research

Michael Polder

University of Maastricht

Patrick Schulte

Deutsche Bundesbank

Date Written: August 15, 2017

Abstract

ICT-intensive firms are often found to have a better performance than their non-ICTintensive counterparts. Along with investing in ICT capital they have to adapt their production and business processes in order to reap the potentials implied by the use of ICT. Are these firms also more resilient in times of crisis? We study this question by exploiting a novel and unique data set from the Microments Database. Covering 12 countries, 7 industries and the period from 2001 to 2010, the data allow us to distinguish between ICT-intensive and non-ICT-intensive firms within industries. We find evidence that indeed during the crisis in 2008 and 2009, ICT-intensive firms were hit less hard with respect to their productivity. This holds in particular for firms from service industries. Moreover, ICT-intensive firms were also more successful in introducing process innovations during that period which could explain their better productivity performance compared to non-ICT intensive firms.

Keywords: ICT, innovation, productivity, economic crisis, resilience, meso-level data

JEL Classification: H12, J24, O31, O47

Suggested Citation

Bertschek, Irene and Polder, Michael and Schulte, Patrick, ICT and Resilience in Times of Crisis: Evidence from Cross-Country Micro Moments Data (August 15, 2017). ZEW - Centre for European Economic Research Discussion Paper No. 17-030. Available at SSRN: https://ssrn.com/abstract=3019071 or http://dx.doi.org/10.2139/ssrn.3019071

Irene Bertschek (Contact Author)

ZEW – Leibniz Centre for European Economic Research ( email )

P.O. Box 10 34 43
L 7,1 D-68161 Mannheim
Germany

Michael Polder

University of Maastricht ( email )

P.O. Box 616
Maastricht, 6200MD
Netherlands

Patrick Schulte

Deutsche Bundesbank ( email )

Wilhelm-Epstein-Str. 14
Frankfurt/Main, 60431
Germany

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