Within the last three decades, industrialization, and manufacturing in particular, has decreased in importance as the principal driver of economic growth and development in the world economy. The expansion of the service sector in industrialized societies reflects the increasing significance of the 'weightless' economy and information and communication technologies (ICT) in the process of wealth generation. While most developing countries remain outside the orbit of these structural shifts, several developing countries have not only successfully filled the manufacturing niches vacated by the OECD economies but several are also experiencing growth in the ICT-driven service sector.

In this collection an international mix of academics and policy-makers address the implications of ICT and the new service-driven economy on developing countries, examining its importance and addressing challenges that confront those that have embraced these approaches. Examining the links between ICT and globalization, this collection reveals how ICT can enhance economic growth, government efficiency, transparency and accountability, but also how the persistence of old economy problems, such as poverty, inequality, illiteracy and infrastructure may mean that investment in ICT is unlikely to have a developmental impact.

'An elegant, insightful and extremely helpful book in understanding intriguing connections between ICT and economic growth. Because of its analytical and yet readable style, the book is an essential reading for professional economists, policy makers and well-informed readers.' - Lakhwinder Singh, Department of Economics, Punjabi University

'To date, discussion about the new economy has generally fallen into two camps - optimistic or pessimistic. The value of D'Costa's volume is that a more balanced analysis is provided, drawing on case studies from various regions so that proper consideration of the new economy and developing world can take place.' - Matthew Clarke, Program Leader - International Development School of Global Studies, Social Science and Planning, RMIT University

'This book is a useful addition to the growing literature that explores what the rise of the "new economy" means for low-income countries...a well-produced book that substantially contributes to our understanding of these issues.' - M. Vijayabaskar, Economic and Political Weekly

List of Figures
List of Tables
Acknowledgements
Foreword
Notes on Contributors
List of Abbreviations
Introduction: Charting a New Development Trajectory?; Anthony P. D'Costa
Theoretical and Conceptual Foundations of Total Factor Productivity Measurement in Services: Looking Back and Ahead; B.Andersen & Marva E.Corley
Emergent Regime Formation for the Information Society and the Impact on Africa; Derrick L.Cogburn
The Internet and Economic Growth in LDCs: A Case of Managing Expectations?; C.Kenny
Can ICT Make a Difference in the Development of Transition Economies?; Marcin Piatkowski
ICT Initiatives in India: Lessons for Broad-based Development; P.D.Kaushik
The Software and Information Services Sector in Argentina: The Pros and Cons of an Inward-Oriented Development Strategy; Daniel Chudnovsky & Andres Lopez
ICT Opportunities and Challenges for Development in the Arab Region; Samia Satti O.M.Nour
The Impact of Technology on Competitiveness: A Case Study of Indian Small Automotive Component Unit; T.A.Bhavani
How to Solve the 'Hotmail Problem': Global-local Interfaces and Filipino Technopreneurs; Czarina Saloma-Akpedonu

ANTHONY P. D'COSTA is Professor of Comparative International Development at the University of Washington, USA. He has written widely on the political economy of global and Asian steel, auto and software sectors. He is author of The Global Restructuring of the Steel Industry: Innovations, Institutions and Industrial Change, The Long March to Capitalism: Embourgeoisement, Internationalization and Industrial Transformation in India and co-editor, with E. Sridharan of India in the Global Software Industry: Innovation, Firm Strategies and Development. He serves on the Board of Trustees of the American Institute of Indian Studies and the editorial board of Asian Business and Management.