Are EU regional digital strategies evidence-based? An analysis of the allocation of 2007–13 Structural Funds

The ambitious goals of the European “Digital Agenda” need active involvement by regional innovation systems. Effective regional “digital strategies” should be both consistent with the European framework and based on available evidence on the needs and opportunities of local contexts. Such evidence should be used to balance the different components of the Information Society development (e.g. eServices vs. infrastructures; ICT supply and demand), so as to ensure that they can all unleash their full potential. Therefore, EU regions should spend more money to overcome regional weaknesses than to improve existing assets. In this paper we explore the different strategies of the EU's lagging regions through the analysis of the allocation of 2007–13 Structural Funds. Then, we verify whether such strategies respond to territorial conditions by comparing strategic choices made with the actual characteristics of local contexts. Results show that EU regions tend to invest more resources in those aspects in which they already demonstrate good relative performances. Possible causes of this unbalanced strategic approach are discussed, including the lack of sound analysis of the regional context and the path dependence of policy choices.     

Drivers and barriers to cross-border e-commerce: Evidence from Spanish individual behavior

This paper explores the determinants of the individual's decision to perform cross-border e-commerce (CBeC). The European Union (EU) is especially interested in the promotion of CBeC because it is an important tool in its strategy to achieve the Digital Single Market in Europe. In this paper official data is used from a representative survey of 16,209 individuals on ICT usage by households and individuals that was carried out in Spain by the National Institute of Statistics (INE) for the year 2016. Using a standard neoclassical utility maximization framework, and logistic regression techniques, the results show that being a male is positively related to the probability of practicing CBeC. Education is positively and significantly related to the probability of being involved in CBeC with EU countries. Computer and Internet Skills are significant and positive factors in explaining CBeC (either with EU countries or with the rest of the world). The variable “how often the consumer sees other customer reviews before buying online”, has a positive effect. Foreign nationality also increases the likelihood of using CBeC. To promote CBeC in Spain measures towards developing digital skills, Internet trust and use of online information reviews of goods and services are discussed.     

The social process of internet appropriation: Living in a digitally advanced country benefits less well-educated Europeans

We generalize and extend the sequential model proposed by the resources and appropriation theory to explain the digital divide in the European Union plus the United Kingdom (EU27+UK). We measure the theoretical constructs of the model with data provided by the EU and test the theoretical predictions using a partial least squares structural equation model. We find support for the hypothesized relationships but find that the effects vary depending on the digital development level of countries. While education overall is the primary determinant of the social production of digital inequalities, a country's digital development level is crucial for less well-educated Europeans. These findings have theoretical and practical implications: (1) they call into question the homogeneity of the effect of causal relationships and the assumption that individuals differ only in terms of motivation, access, and digital skills, and (2) they indicate that socially disadvantaged Europeans benefit from living in more digitally developed countries.     

数字贸易赋能制造业质量变革机制与效应——来自跨境电子商务综合试验区的准自然实验

数字贸易已经成为全球发展的趋势。本文使用2009~2020年沪深A股制造业上市公司,以跨境电子商务综试区设立为“准自然实验”,探究数字贸易赋能制造业质量变革的作用机制与效应,结果发现:(1)设立跨境电子商务综试区能够显著提高企业全要素生产率,数字贸易推动制造业企业质量升级;(2)机制分析发现,数字贸易使得企业能获得和使用市场中更多的信息来满足消费者,提升了企业研发创新能力,进而提升企业质量。数字贸易对出口企业质量升级的影响大于非出口企业,数字贸易对两者的影响途径存在差异;(3)异质性分析表明,政治资源诅咒与基础设施限制,使数字贸易对非国有企业和高互联网发展水平制造业企业质量升级的影响更加明显;(4)数字贸易赋能制造业升级具有出口提升效应,数字贸易提升了制造业企业出口产品质量、产品种类与海外市场。本文结论对理解数字贸易在我国制造业质量改革中发挥的作用,以及数字贸易政策实践具有借鉴意义。     

The effect of the digital economy on services exports competitiveness and ternary margins

In the era of the digital economy, improving the level of information and communications technology (ICT) development is an important measure for achieving the high-quality development of the services exports. This study constructs a comprehensive development index for the digital economy based on the United Nations Conference on Trade and Development Statistics Database (UCTADstat) to calculate the services exports competitiveness of 75 countries (regions) around the world from 2010 to 2019 and conducts ternary margin decomposition. The study empirically verifies that the digital economy promotes the competitiveness of services exports, not only driving intensive growth of quantity margin and price margin but also enhances the expansion growth of category margin. Heterogeneity analysis reveals that the effect of the digital economy on improving low- and middle-income countries' services exports competitiveness and industries with low ICT intensity is more significant than that of high-income countries and high ICT-intensity industries. The impact of the digital economy on the ternary margin of countries’ different income levels and ICT-intensity sample groups exhibits differentiated estimation results. The conclusions of this study provide novel explanations regarding the effects of the digital economy in improving services exports competitiveness and new perspectives and evidence for strategic policymaking.     

Different paths to universal access: The impact of policy and regulation on broadband diffusion in the developed and developing worlds

The authors examine the broadband digital divide by analyzing the impact of policy and regulation on broadband Internet diffusion. Their multiple regression analysis shows factors that determine broadband diffusion in technologically developed countries do not necessarily have the same impact in less developed countries. They show that in technologically developed countries, there is greater broadband diffusion in countries that make a higher financial investment in information and communication technologies (ICTs), have effective governing practices at the national level, have higher levels of education, and are more urban. In technologically developing nations, a competitive telecommunications sector and higher investment in ICTs lead to greater broadband diffusion, with investment having an even larger impact in the developing world than in the developed world. In addition, stronger democratic political institutions, higher levels of national income and lower levels of income inequality increase diffusion, but the presence of a national telecommunications regulatory authority has a negative impact. These results suggest that the path to widespread availability and use of broadband requires different strategies depending on a nation's level of technological development.     

On the asynchronous approvals of GM crops: Potential market impacts of a trade disruption of EU soy imports

Due to their high protein content, soybeans are important feedstuffs in the European Union (EU). However, the cultivation of soybeans using genetically modified (GM) varieties in non-EU countries is increasing and the EU authorization of GM products takes longer than in other countries, leading to an asynchronous approval between the EU and non-EU countries that might induce soybean trade disruptions. This paper uses an integrated modelling system to simulate Argentina, Brazil and the United States ending soybean exports to the EU. The impact on world trade and on the EU import prices of soy products is analysed with a computable general equilibrium model. EU soy imports are shown to decline, and the import price of soybeans in the EU increases. The effects on EU agricultural markets are analysed based on a partial equilibrium model. Feed costs in the EU are found to increase with poultry and pork the most affected: production and exports decline and imports increase. However, the effects of a trade ban are found to be less profound than in many other studies due to compensating substitution effects at various market levels: increasing imports from third countries, increasing domestic oilseed production and the use of other protein feeds.     

The evolution of mobile communications in Europe: The transition from the second to the third generation

This paper analyses the evolution of the mobile communications industry in the European Union. The research focuses its interest on the different roles played by the regulator in Europe and in other regions of the world (mainly the US). The diffusion of GSM was extraordinarily fast in Europe, mainly due to the adoption of a unified standard from inception. This rapid diffusion has resulted in an important competitive advantage for European operators. Interestingly, while the regulator acted similarly in the case of UMTS, the development of the latter has faced many problems and, presently, its diffusion is still low (about 5% in the EU). The paper also offers basic information on market structure that may be useful for extracting some preliminary conclusions about the degree of rivalry within the industry and the differences that can be observed between European countries.     

Saving two in a billion:: quantifying the trade effect of European food safety standards on African exports

A growing concern over health risks associated with food products has prompted close examination of sanitary and phytosanitary standards in industrialized countries. This paper quantifies the impact of a new harmonized aflatoxin standard set by the EU on food exports from Africa. We employ a gravity model to estimate the impact of changes in differing levels of protection based on the EU standard, in contrast to those suggested by international standards. The analysis is based on trade and regulatory survey data for 15 European countries and nine African countries between 1989 and 1998. Our results suggest that the implementation of the new aflatoxin standard in the EU will have a negative impact on African exports of cereals, dried fruits and nuts to Europe. The new EU standard, which would reduce health risk by approximately 1.4 deaths per billion a year, will decrease these African exports by 64% or US$ 670 million, in contrast to regulation set through an international standard.     

Technology policy for the knowledge economy: Public support to young ICT service firms

Public intervention in high-tech sectors is often advocated to resolve market imperfections that may possibly limit the viability of young high-tech enterprises. Although some European countries have adopted national government support policies that explicitly target this type of firm, in Italy and in other EU countries, there are no national support measures specifically designed for them. The paper focuses on the information and communication technologies (ICT) services sector in Italy. It aims to investigate whether both horizontal general-purpose direct support mechanisms at the national level and financial support measures provided by local administrative entities (which rarely have been specific to the ICT sector) permit an efficient allocation of public funds.     

Information and communication technologies for development: assessing the potential and the risks

This article provides a review of the United Nations Commission on Science and Technology for Development (UNCSTD) Working Group on ICTs and Development Report (Knowledge Societies: Information Technology for Sustainable Development, Oxford University Press, 1998). The author highlights key issues of ICTs in a development context; and summarizes the Report’s assessment of both potential and risks of ICTs for developing countries. A check-list derived from the Report provides guidelines for issues to consider in developing ICT policies and implementation strategies.     

The Impact of Acquiring EU Status on the Earnings of East European Migrants in the UK: Evidence from a Quasi‐Natural Experiment

On 1 May 2004, 10 new states — including the ‘A8’ countries in Central and Eastern Europe — joined the European Union (EU). This article explores the impact of EU enlargement on A8 workers who were already working in the UK before 1 May 2004 — legally or illegally. More specifically, the article analyses the impact of the change in the legal (immigration) status that A8 workers experienced on 1 May 2004 on their earnings in the UK. The empirical analysis employs difference‐in‐difference estimation using data obtained from a relatively small but unique survey of migrant workers from four of the A8 countries (Poland, Czech Republic, Slovakia and Lithuania) and two other East European countries (Ukraine and Bulgaria), carried out one month before and six to eight months after EU enlargement in May 2004. The results of this exploratory analysis suggest a statistically significant and positive impact of acquiring EU status on earnings. The data further indicate that, in part, this effect was brought about by A8 workers gaining the right to freely change jobs after EU enlargement. There is no evidence of a ‘legalization effect’ on earnings.     

Does ICTs decrease the spread of informal economy in Africa?

This paper assesses the effect of information and communication technologies (ICTs) on the informal economy. We applied the Generalized Method of Moments (GMM) on a sample of 45 African countries from 2000 to 2017. According to the findings, the use of ICTs (mobile phone and internet) decreases the spread of the informal economy in Africa. These results are robust to a battery of robustness checks. Furthermore, the results of the mediation analysis show that the effect of ICTs on the informal economy is mediated by financial development, human capital and control of corruption. From a policy perspective, we suggest a quantitative and qualitative consolidation of technological infrastructures, for a sustainable mitigation of the rise of informal sector in Africa.     

我国不同规模企业跨境电子商务应用状况调查分析

根据问卷调研，分析了我国不同规模企业在跨境交易中电子商务的应用水平以及存在的问题。研究发现，跨境电子商务的应用水平由小型企业、中型企业到大型企业逐步升高；对于不同规模企业而言，跨境电商的发展不同，且同一规模企业在跨境交易的不同环节运用电子商务的能力也存在差异。为此，分别从企业、政府、国家层面提出提高跨境电子商务应用水平的意见。     

The impact of the European Novel Food Regulation on trade and food innovation based on traditional plant foods from developing countries

The stringent food safety assessment for novel foods required by the European Union’s Novel Food Regulation (NFR) places a high burden of proof on those bringing traditional food products to the EU market not consumed in the EU prior 1997. The regulation has emerged as a non-tariff trade barrier for heritage foods from developing countries that are viewed as “exotic” from the EU perspective. We show how the regulation has discouraged investment in supply chains and market development, and how this negatively affects income generation and rural poverty alleviation in developing countries. Focusing on plant-derived foods, this paper proposes to recognize traditional exotic foods in current EU law as a food category sui generis with food safety evidence requirements being proportionate to the risks they may pose. We argue that development activities promoting export food chains must increasingly accommodate legitimate food safety concerns about neglected food species in project design and seek to generate data to enhance regulatory acceptance in target markets.     

Dependency of organic farms on direct payments in selected EU member states: Today and tomorrow

This paper examines the development of the role of government support in the financial situation of organic farms in selected Western and Eastern European countries, contrasting dependency on direct payments with that of conventional farms and assessing the impact of foreseeable changes in the political and economic environment. The results show that direct payments play an important role in the financial viability of organic farms in both Western and Eastern European countries. The level of specific support for organic farming is put into perspective, as other support payments and market returns contribute larger shares to total farm revenue in all the countries analysed. Modelling analyses show that support payments will continue to play an important role in the profitability of organic farms in Western Europe after implementation of the 2003 reform of Common Agricultural Policy in the EU. For organic farmers in Eastern European countries, the importance of support payments increases strongly with EU accession, as first pillar payments are introduced and environmental payments are expanded significantly.     

Online job search in the Spanish labor market

Using data from the Spanish survey on equipment and use of ICTs in households for the period 2007–2011, we study the decision of Spanish jobseekers to search for a job online, and explore potential differences between unemployed and employed workers. Since only those jobseekers that have accessed the Internet can perform an online job search, we use bivariate probit selection models to correct for potential selection bias. Our results show that Internet Spanish jobseekers tend to be younger, better educated, more Internet-savvy, and live in urban areas compared to those that only use traditional search channels. However, we find that employment-to-employment and unemployment-to-employment transitions differ by gender, nationality, household income, and time aggregate factors. We find evidence of a digital divide in adoption and usage by age and educational attainment. These findings suggest that policy makers and human resources managers should take into account these disparities in Internet usage to guide their public programs and recruiting strategies.     

National food safety control systems in Sub-Saharan Africa: Does Uganda’s aquaculture control system meet international requirements

Stringent food safety requirements set by developed country markets, which require exporting countries to establish effective national food control systems (NFCS) that guarantee safety of the products to the market, pose a challenge to Sub-Saharan countries in development of aquaculture products as alternative exports following the decline of capture fisheries. In the study, four components of Uganda’s NFCS including legislation, competent authority, inspection services, and laboratory services were evaluated for compliance with FAO/WHO, European Union (EU), and the United States (US) market recommendations for guaranteeing aquaculture product safety. Using a checklist, component elements were benchmarked and scored, and components ranked for compliance with the recommendations. On a scale of 0–5, where 0 denotes none, 1 very low, 2 low, 3 some, 4 almost total, and 5 full compliance, only laboratory services had a barely acceptable score of 3.3 (some compliance). The rest including legislation which is central in setting the level of controls by the other three components scored below three, and the combined score for all components was only 2.2, indicating that Uganda’s NFCS was still short of the requirements to allow entrepreneurs to access markets in the EU and other developed countries. The low score is partly attributed to the dynamics of this country’s fledgling aquaculture industry and the rapidly evolving food safety requirements in the international markets.     

The involvement of utilities in the development of broadband infrastructure: A comparison of EU case studies

Energy companies and other utility providers have been often involved in the provision of telecommunications services. Nevertheless, their contribution to broadband development has varied significantly over time. In the late 1990s, both local and national utilities in the European Union (EU) engaged in the provision of broadband networks, but only few of them managed to establish themselves as major broadband providers. More recently, new projects involving national utilities have been announced in several EU countries, opening new scenarios for utilities’ contribution to Next Generation Access (NGA) development. This paper identifies and explores the factors affecting the entry and the success of utilities in the EU broadband market, through the comparison of four case studies from four EU countries (Germany, Italy, Sweden and the UK). The evolution of utility involvement in the EU broadband markets is assessed against the interaction of market, technology and policy factors, focusing on the impact of policy and regulatory measures. As a result, this paper provides fruitful insights into the relevance and effectiveness of public interventions in broadband markets. Across the four case studies, public support and public ownership emerged as the main drivers for the involvement of utilities in EU broadband markets, with regulatory measures and economies of scope exerting a limited and decreasing influence. However, the contribution of utilities has varied significantly across the cases studied, reflecting the different approaches taken at national and local level to support broadband development, in spite of the common regulatory framework.     

An index for cross-country analysis of ICT infrastructure and access

The purpose of the present article is to devise an index for measuring and analyzing the divide among countries in the area of information and communication technology (ICT) infrastructure and access. Understanding the fact that there are many factors influencing the digital divide, this research is not intended to measure the digital divide in terms of different inequalities, but it rather attempts to take only one of the most important of these factors (maybe the most important of them) into consideration for measuring and analyzing divide between countries, that is, ICT infrastructure and access. In contrast to the majority of the indices in this context, the proposed index is built upon defining and conceptualizing ICT infrastructure and access. In addition, the index uses core ICT indicators on which the international community and experienced modelers have consensus that they measure the information society suitably. Therefore, the index can be exploited as the basis and standard for internationally comparable statistics in ICT infrastructure and access area. Moreover, it is the second index based on core ICT indicators after the Digital Opportunity Index (DOI) that was developed by the International Telecommunication Union (ITU) in 2005. However, in the current article, using Data Mining methods, Markov Chain Monte Carlo (MCMC) (to impute missing data) and Multi-Stage Factor Analysis (FA) (for aggregating the indicators), many problems and limits of the existing indices, the DOI in particular, such as the lack of data for analyzing ICT infrastructure and access, use of equal weighting or experts’ opinions to aggregate the indicators, are avoided. Since this index is developed by statistical procedures, it is flexible, adaptable, and modifiable over time while it sustains its original structure. It is comprised of two main dimensions: ‘ICT access’ and ‘coverage of mobile and access tariffs’ and 10 indicators. Finally, comparing the proposed index with the other indices in this field and gross national income (GNI) per capita of 150 countries, this index is tested; then, it is utilized to measure and analyze the divide between countries in the two dimensions, different geographical areas, economic conditions, and levels of ICT infrastructure and access.