Revisiting the Impact of Information Technology Investments on Productivity: An Empirical Investigation Using Multivariate Adaptive Regression Splines (MARS)

Revisiting the Impact of Information Technology Investments on Productivity: An Empirical Investigation Using Multivariate Adaptive Regression Splines (MARS)

Myung Ko (The University of Texas at San Antonio, USA), Jan G. Clark (The University of Texas at San Antonio, USA) and Daijin Ko (The University of Texas at San Antonio, USA)
Copyright: © 2008 |Pages: 23
DOI: 10.4018/irmj.2008070101

Abstract

This article revisits the relationship between IT and productivity, and investigates the impact on information technology (IT) investments. Using the MARS techniques, we show that although IT Stock is the greatest predictor variable for productivity Ko, M.; Clark, J.G.; Ko, D.(Value Added), it is only significant as an interaction variable, combined with Non-IT Capital, Non-IT Labor, Industry, or Size.

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