nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2012‒01‒25
two papers chosen by
Walter Frisch
University Vienna

  1. ICT Applications for the Smart Grid: Opportunities and Policy Implications By OECD
  2. Goods Follow Bytes: The Impact of ICT on EU Trade By Anselm Mattes; Philipp Meinen; Ferdinand Pavel

  1. By: OECD
    Abstract: The smart grid is revolutionizing electricity production and consumption. However, strategic use of ICTs and the Internet in energy innovation requires clarifying the roles of partners coming from distinct industries. And it begs for greater coordination of government departments and stakeholder communities that so far had unrelated competencies. This report outlines opportunities, challenges and public policy implications from shifts to ICT-enabled, "smart" electricity grids.
    Date: 2012–01–10
  2. By: Anselm Mattes; Philipp Meinen; Ferdinand Pavel
    Abstract: This paper empirically assesses whether the deployment and use of Information and Communication Technology (ICT) infrastructure at the national level affects trade flows within the European Union (EU) and between the EU and its main trading partners. The analysis tests the hypothesis that availability and use of ICT enhances trade by reducing transaction costs and through network effects that materialize when both trading partners are advanced users of ICT. The empirical analysis is based on the application of gravity equations in various robust specifications. The results suggest that ICT does have a significant impact on EU trade. In particular, we find trade to be enhanced if both trading partners reveal advanced ICT endowments, which supports the expected network effects. Additionally, we observe trade diversion effects from less to highly ICT developed countries.
    Keywords: Exports, ICT, gravity model, international trade, network effects
    JEL: F1 D2
    Date: 2012

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