Ultimately the Digital Economy can be seen as a descripton of the wide set of productivity improvements delivered through the adoption of ICT. This is the most limited view, but it seems to be what the Government thinks it is.
Telstra has released a report and white paper, including its Telstra Productivity Indicator. As expected it has been able to turn this into good positive brand stories. The one in Busines Spectator confused at times the ACIL Tasman white paper with the outcomes of the survey conducted by Sweeney.
The observation that large numbers of businesses don't measure productivity improvement masks the fact that many firms focus is on the creation of new markets and products, which typically makes productivity measurement a difficult task.
Business Spectator also comes up with some extraordinary comparisons of Australian versus US productivity improvement over the last thirty odd years. These numbers don't sound right on the surface. But even if they did, in a choice between the US economy and the Australian economy I guess I'd choose ours.
Similarly the note that our productivity improvement had been concenmtrated in mining and agriculture is described as if it were a negative. The theory of comparative advantage in trade suggests you should work on improving your strengths, so it looks to me like we've ben doing the right stuff.