TY  - RPRT
        AU  - Jungmittag, Andre
AU  - Welfens, Paul J. J.
        TI  - Telecommunications Dynamics, Output and Employment
        PY  - 2006/Oct/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 2379
        UR  - https://www.iza.org/publications/dp2379
        AB  - 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.
        KW  - growth
KW  - employment
KW  - telecommunications
KW  - knowledge society
KW  - regulation
        ER  -