Contribution of information to the regional economic growth in Zhejiang, China and Aichi, Japan

Abstract

This paper attempts to measure the contribution of information to economic growth by using the deterministic frontier production function. We use the panel data of input-output tables for Zhejiang Province in China and Aichi Prefecture in Japan as a case study. It is estimated that the contribution of information to the regional economic growth in Aichi is three times that in Zhejiang. It is also shown that the reason for this difference mainly relates to differences in the scale, type, and distribution of information resources. This paper provides several suggestions for promoting regional economic growth in Zhejiang.