Two technological revolutions

Boyan Jovanovic, Peter L. Rousseau

    Research output: Contribution to journalArticle

    Abstract

    The IPOs of the Electricity/Internal Combustion revolution created more lasting value than the IPOs of the IT revolution. Stock-market data point to two explanations for this. First, computer prices have been falling much faster than did those of electricity and internal combustion in the 1890-1930 period, and so the value of each generation of computerintensive entrants is reduced by later entrants. And, second, the pre-1973 vintages reacted to the microcomputer relatively quickly, perhaps because the threat of being taken over is now higher than it was 70-100 years ago.

    Original languageEnglish (US)
    Pages (from-to)419-428
    Number of pages10
    JournalJournal of the European Economic Association
    Volume1
    Issue number2-3
    StatePublished - Apr 2003

    Fingerprint

    Technological revolution
    Combustion
    Electricity
    Microcomputer
    Threat
    Market data
    Stock market

    ASJC Scopus subject areas

    • Economics, Econometrics and Finance(all)

    Cite this

    Jovanovic, B., & Rousseau, P. L. (2003). Two technological revolutions. Journal of the European Economic Association, 1(2-3), 419-428.

    Two technological revolutions. / Jovanovic, Boyan; Rousseau, Peter L.

    In: Journal of the European Economic Association, Vol. 1, No. 2-3, 04.2003, p. 419-428.

    Research output: Contribution to journalArticle

    Jovanovic, B & Rousseau, PL 2003, 'Two technological revolutions', Journal of the European Economic Association, vol. 1, no. 2-3, pp. 419-428.
    Jovanovic B, Rousseau PL. Two technological revolutions. Journal of the European Economic Association. 2003 Apr;1(2-3):419-428.
    Jovanovic, Boyan ; Rousseau, Peter L. / Two technological revolutions. In: Journal of the European Economic Association. 2003 ; Vol. 1, No. 2-3. pp. 419-428.
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