Duly Noted

Finally, as firms invest more in custom software, they also increase their investment in traditional capital. As a result, labor productivity, which can increase both because of total factor productivity and capital deepening, grows even more.

you can’t buy your way to productivity but you can build your way there.

_{Quote Citation: Xian Jiang ,  Hannah Rubinton, “Implications of the Rise in Custom Software Investments”, September 16, 2025, https://www.stlouisfed.org/on-the-economy/2025/sep/aggregate-implications-rise-firms-custom-software-investments}