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The growing use of information and communications technology (ICT) by business—e-business—profoundly affects the economy. This article covers some of the macroeconomic impacts of e-business. Evidence from empirical studies examining the impact that greater use of ICT by business has on productivity and national economic growth is presented, along with discussion of how e-business changes the volatility and complicates measurement of growth. E-business can bring down inflation, but also exacerbates some monetary and fiscal policy challenges, and raises new ones. While e-payments and e-money can complicate monetary policy and may alter its goals, little effect has been seen to date. Sales tax leakage due to e-commerce can affect the fiscal policy of states, al-though again the magnitude of lost revenue is not great. Suggested directions for future research close out the article.