The article seeks to measure the economic value of information. Informational values may vary relative to one’s profession but it is said to be an expression of impacts or how it is need.
The value of information were examined under three themes and these themes are:
1. INFORMATION VALUE AS “USE’:
Here the value of information denotes an expression of how useful a piece of information is to the recipient. Informational value is frequently expressed as a derivation from communicational utility which also takes into consideration availability of data within an organization, its flow to members of that organization as well as impact of those data to the structural organization of the firm.
2. INFORMATION AS “TRAFFIC”:
This tries evaluate the material or monetary worth of information as in traffic or sales. Porat (Porat 1977) in his study in 1977 discovered that the portion of U.S. National Economy involved with information was large and rapidly growing taking up 49% of Gross National Product (GNP) and earning 53% of labour income. A recent survey shows increase in revenue recorded with the online database industry as well as increased rate of electronic dissemination of information.
3. INFORMATION VALUE AS “COMMODITY”:
Information here is seen as a unique commodity the is not consumed in its use but could be exchange as well as used many times. Exchange value and use value of a commodity (information) were distinguished with commodity acting as the unifying factor between the two.
Pricing was deduced as an acceptable measure of value and a reliable indicator of exchange when taken over time.
In conclusion, the article won given preference to valuing information in its commodity form since market price serves as a good indicator or measure for value.
NAME: AJAYI OLUGBENGA S.
MIM/EDUC/07812/2008-09
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