Which of the following statements best describes the productivity paradox of technology investment?
A) The productivity of any technology is directly proportional to the investment in that technology.
B) While it is easy to quantify the costs associated with developing an information system, it is often difficult to quantify tangible productivity gains from its use.
C) As investment in technology increases, productivity decreases steadily.
D) While it is easy to identify and quantify the intangible benefits of an information system, it is not easy to quantify the tangible benefits.
E) The productivity of an information system is in no way related to the investment in the technology.

Question

Quizplus · Accepted Answer

The productivity paradox of technology investment refers to the phenomenon where companies invest significant amounts in information technology, yet fail to see the expected increase in productivity. This is often attributed to the difficulty in quantifying tangible productivity gains from the use of these systems, even though the costs of developing and implementing them are more easily quantifiable. Therefore, statement B is the best description of the productivity paradox.

Which of the Following Statements Best Describes the Productivity Paradox