Us Economy Research Paper

Us Economy Research Paper-66
In the United States, all employment in computer and related services accounted for only 1 percent of total employment in 1998 (including the public sector), whereas the share of computer-related occupations in the economy was around 2 percent.As a result, as much as 76 percent of computer-related occupations were in other industries.” Organisation for Economic Co-operation and Development, tion system, and increasingly the value of a firm is embedded in its brands, its contracts and its systems, all intangible.

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“The software sector is one of the most rapidly growing sectors in OECD countries, with a relatively strong performance across all economic variables. Over the next decade, eight of the ten fastest growing occupations will be computer related, with software engineers comprising the fastest growing group.

The sector contributes directly to economic performance because of its dynamism, and software applications help boost growth across the whole economy through their use in an ever-expanding array of applications. Oliner and Sichel showed that two-thirds of the increase in productivity between 1990-19-1999 is attributable to IT. This prediction may be at risk, as we see software emerging as a key way India and China are upgrading their economies by outsourcing these jobs from the United States, where computer science continues to decline in popularity as a field of study.

Tangible assets increasingly are rented on an as-needed basis because software enables this.

However, these software systems, the most key assets for companies, are not reported on balance sheets because to the accounting profession software is intangible and hard to measure.It does not attempt to answer the questions raised.It does distill over 40 years of personal experience creating, maintaining and using software and managing others doing these tasks from multiple perspectives over a varied career.It is also undoubtedly the largest single class of liabilities.Operating, maintaining and creating software is surely the largest single class of expenses other than direct labor.Enterprise Resource Planning systems determine the way that factories run. Sichel, “The Resurgence of Growth in the Late 1990s: Is Information Technology the Story? “[G]rowth accounting estimates show that ICT [information and communications technology] investment typically accounted for between 0.3 and 0.8 percentage points of growth in GDP per capita over the 1995-2001 period….Software and the business practices it enables are the biggest single driver of The primary driver of the August 14, 2003, northeastern U. blackout, which cut off electricity to 50 million people in eight states and Canada, was a deeply embedded software flaw in a General Electric energy management system. Software accounted for up to a third of the overall contribution of ICT investment to GDP growth in OECD countries.” Organisation for Economic Co-operation and Development, “Identified computer security vulnerabilities—faults in software and hardware that could permit unauthorized network access or allow an attacker to cause network damage—increased significantly from 2000 to 2002, with the number of vulnerabilities going from 1,090 to 4,129.” and redefined the way hundreds of millions of others do their jobs.The result is that investors are left in the dark about a company’s single most valuable asset.I for one fail to understand how that is in the best interest of investors.We are not at the end of the computer revolution at all.No industry is safe from reengineering as cheaper computing enables ever more sophisticated software to redefine business practices.


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