Posted by: Michael Mandel on August 15
I apologize…I’ve only now gotten around to analyzing the tech spending numbers in the latest GDP report.
Here’s the bottom line—in the second quarter, business and consumer spending on info tech and entertainment hardware and software accounted for 4.75% of GDP. That’s the lowest level since 1995.
The lowest level since 1995. See the chart below. Astounding and depressing. No signs yet of a breakout on the upside.
(These numbers include business investment in information processing equipment and software, and consumer spending on video and audio goods, including computer goods)
Michael Mandel, BW's award-winning chief economist, provides his unique perspective on the hot economic issues of the day. From globalization to the future of work to the ups and downs of the financial markets, Mandel-named 2006 economic journalist of the year by the World Leadership Forum-offers cutting edge analysis and commentary.