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SOFTWARE,GROWTH, AND THE FUTURE OF THE U.S. ECONOMY

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Significant and sustained increases in semiconductor productivity, predicted by Moore’s Law, has ushered a revolution in communications, computing, and information management.1 This technological revolution is linked to a distinct rise in the mid 1990s of the long-term growth trajectory of the United States.2 Indeed, U.S. productivity growth has accelerated in recent years, despite a series of negative economic shocks. Analysis by Dale Jorgenson, Mun Ho, and Kevin Stiroh of the sources of this growth over the 1996 to 2003 period suggests that the production and use of information technology account for a large share of the gains