Job Growth Mechanics
In a new interview with the market research firm Gartner Inc.,  Eric Brynjolfsson, a management professor and director of the Center for  eBusiness at the Massachusetts Institute of Technology's Sloan School of  Management, opined that information technology will continue to contribute  significant gains in productivity and long-run job creation, despite near-term  disruptions in job growth. "There are certainly specific cases where companies  haven't needed as many workers. Technology has allowed them to do that,"  Brynjolfsson said. "But the real culprit is the lack of output. Slowing down  productivity growth would be no solution to preventing people from losing their  jobs," he said. Productivity growth has averaged near a comparatively high 4% a  year since 2000, compared with 1% between 1973 and 1995. However, reduced  IT investment in the 2001-2003 period, when companies focused on cost cutting,  will limit IT-driven job growth in the short term, Brynjolfsson said. He has  advised Federal Reserve Chairman Alan Greenspan on the relationship between  IT and productivity growth in the economy.

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