%0 Report
        %A Jungmittag, Andre
%A Welfens, Paul J. J.
        %T Telecommunications Dynamics, Output and Employment
        %D 2006
        %8 2006 Oct
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 2379
        %U https://www.iza.org/publications/dp2379
        %X In EU countries, opening up of telecommunications markets and regulations have helped to reduce the price of digital services which is an important quasi-input factor in all firms. Integrating the use of telecommunications in a macroeconomic production function is the analytical starting point for our interdependent analysis of output, use of telecommunications and employment. Based on unit root and co-integration analysis as well as an error correction three-equation model which are estimated simultaneously, we present results both on long run links and short run links between telecommunications, output and employment. Considering various scenarios suggests that a fall in the relative price of telecommunications can generate a cumulated employment increase of 760,000 within seven years in Germany. The institutional setup for regulating telecommunications could be improved in Germany and other EU countries.
        %K growth
%K employment
%K telecommunications
%K knowledge society
%K regulation