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IT Capital Accumulation and Productivity Growth in Public Accounting Firms
Journal article   Peer reviewed

IT Capital Accumulation and Productivity Growth in Public Accounting Firms

Hsihui Chang, Jengfang Chen, Chun-Li Tsai and Yanjie Yang
IEEE transactions on engineering management, v 56(4), pp 692-700
01 Nov 2009

Abstract

Business Business & Economics Engineering Engineering, Industrial Management Science & Technology Social Sciences Technology
In this study, we apply the tripartite decomposition of productivity growth proposed by Kumar and Russell (Amer. Econ. Rev., vol. 92, pp. 527-548, 2002) to estimate and evaluate the contribution of firms' IT capital accumulation to their productivity growth. Analyzing a panel data on 52 public accounting firms in Taiwan for ten years from 1993 to 2002, our results indicate that the productivity growth of these accounting firms was primarily due to their accumulation of IT capital. In addition, our results indicate that services diversification towards nonaudit services and workforce quality contributed to accounting firms' IT capital accumulation, which, in turn, led to their productivity growth.

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Collaboration types
Domestic collaboration
International collaboration
Web of Science research areas
Business
Engineering, Industrial
Management
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