MIS 9003 – Prof. Min-Seok Pang

Week 01 – Business Value of IT

Input-output tables

The I-O accounts (tables) show how industries interact; specifically, they show how industries provide input to, and use output from, each other to produce Gross Domestic Product (GDP). These accounts provide detailed information on the flows of the goods and services that comprise the production process of industries. The I-O accounts are presented in a set of tables: Use, Make, Direct Requirements and Total Requirements. The Use table shows the inputs to industry production and the commodities that are consumed by final users. The Make table shows the commodities that are produced by each industry. The four Requirements tables are derived from the Use and Make tables. The Direct Requirements table shows the amount of a commodity that is required by an industry to produce a dollar of the industry’s output. The three Total Requirements tables show the production that is required, directly and indirectly, from each industry and each commodity to deliver a dollar of a commodity to final users. The Use table is the most frequently requested table because of its applications to the estimates of GDP.

For more detailed information, please refer to

[1] Input-output account data by Bureau of Economic Analysis

http://www.bea.gov/industry/io_annual.htm

[2] Inter-industry relationship (Input-Output Matrix) by Bureau of Labor Statistics

http://www.bls.gov/emp/ep_data_input_output_matrix.htm

Week 01 – Business Value of IT – paper assignment

Each week, I will assign one paper to each student, who is required to write a brief up to 300 words for the assigned paper and lead the discussion on the paper in class. Here is the assignment for the first week.

  • Hitt and Brynjolfsson (1996) – Xinyu Li
  • Anderson et al. (2006) – Yiran Su, Vicky Hu
  • Aral and Weill (2007) – Xue Guo
  • Dewan et al. (2007) – Ada Wang
  • Cheng and Nault (2007) – Aaron Cheng

A brief is due by 11:59 PM on the day before the class date (Tuesday, Jan 12 for the next week). Submit your brief as a new post on this site. Be advised that you’re required to read all the five papers and Chapter 1 of Johnson before the class.

In addition, I require each of you to conduct a further research on background theories or econometric methods in the assigned paper. You don’t need to write about it in your brief but will be asked to explain it  to your classmates in class. Here is the assignment.

  • Xinyu – IT productivity paradox
  • Yiran – The three roles of IT (automate, informate, and transform)
  • Vicky – Market valuation framework
  • Xue – Resources, assets, and capabilities (how different they are from each other)
  • Ada – Real option theory
  • Aaron – Input-output table (bring the actual IO table and explain to the classmates)

Please let me know if you have any question.