The article Will Tech-Driven Deflation Export Japan’s Economic Woes to the World? reminded me of this video, "Evolution of the Desk":
The origin for the above video is http://bestreviews.com/electronics#evolution-of-the-desk.
Each time an object gets digitized that's one less object to manufacture, one less object to ship, one less object consuming raw materials. It's actually more surprising that this hasn't had an even larger impact on the U.S. economy.
Update: A great slide deck from Hal Varian covers the same ground with a slightly different take, pointing out that much of this progress not only doesn't increase GDP, it actually reduces it, which is a problem of using GDP as a metric.