NCPA - National Center for Policy Analysis

U.S. Way Ahead On Info Technology Spending

April 27, 1999

How much of its output is the U.S. devoting to investment in information technology, compared to other advanced nations?

  • The U.S. boosted its outlays from 4.08 percent of gross domestic product in 1996 to 4.53 percent in 1997, according to the European Information Technology Observatory's latest annual assessment.
  • That compares to 2.61 percent of its GDP by Japan, and 2.34 percent by Western Europe.
  • Among the major European nations, only Britain and Sweden devoted more than 3 percent of their GDP to information technology in 1997.
  • U.S. businesses own 105 computers for every 100 workers -- nearly twice the average level of 55 PCs for every 100 Western European white-collar workers and more than four times Japan's count of 24.

Source: Gene Koretz, "Info Tech: Who's Spending What," Business Week, May 3, 1999.


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