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One of the most important forces driving economic performance in the United States and other countries during the 1990s was the rise of information technology. The new technology has had such a significant impact on the economy that "the new economy" emerged as a popular term in both the media and academia.This book, written in an accessible style, examines basic questi*** about the effects of information technology on various ***ects of the economy. The topics include the relati***hip between innovation and the stock market value of the innovating firm; competition policy; demand factors as determinants of growth; institutional ***ects of the innovation process; and the effectiveness of monetary policy in stabilizing the economy.

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One of the most important forces driving economic performance in the United States and other countries during the 1990s was the rise of information technology. The new technology has had such a significant impact on the economy that "the new economy" emerged as a popular term in both the media and academia.This book, written in an accessible style, examines basic questi*** about the effects of information technology on various ***ects of the economy. The topics include the relati***hip between innovation and the stock market value of the innovating firm; competition policy; demand factors as determinants of growth; institutional ***ects of the innovation process; and the effectiveness of monetary policy in stabilizing the economy.