nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2015‒08‒30
eight papers chosen by
Walter Frisch
Universität Wien

  1. Blockchains as a Path to a Network of Systems - An Emerging New Trend of the Digital Platforms in Industry and Society By Mattila, Juri; Seppälä, Timo
  2. ICT for the Employability and Integration of Immigrants in the European Union: Methodological Final Report of a Survey in three Member States By Francisco Lupiañez; Cristiano Codagnone; Rosa Dalet
  3. Resources on the Stage: A Firm Level Analysis of the ICT Adoption in Turkey By Derya Findik; Aysit Tansel
  4. Industrial Agglomeration and Use of the Internet By Chia-Lin Chang; Michael McAleer; Yu-Chieh Wu
  5. Dynamic Support of Government in Online Shopping By Hai, Le Chi; Alam Kazmi, Syed Hasnain
  6. Exploring the Role of ICT-enabled Social Innovation for the Active Inclusion of Young People By Joe Cullen; Clare Cullen; Emma Hamilton; Greg Holloway; Gigliola Paviotti; Veronique Maes
  7. Nowcasting prices using Google trends : an application to Central America By Seabold,Skipper; Coppola,Andrea
  8. Peer-to-Peer Markets By Liran Einav; Chiara Farronato; Jonathan Levin

  1. By: Mattila, Juri; Seppälä, Timo
    Abstract: At the beginning of the 1990s, the Internet’s various fragmented information networks were combined into one integrated network of systems. As a result, the commercial utilization of the Internet boomed, creating com- pletely new business models and economic structures in the process. A similar reaction is now anticipated from the digitalization of industry and society at large. However, the main question is: “How can all the separately structured, isolated systems be fused into one seamless network of systems?” So far, the problem has mainly been addressed from the standpoint of centralized and decentralized system architectures. Our analysis shows, however, that completely new and innovative technological approaches, such as the blockchain technology, are emerging to address this problem. These new distributed architecture solu- tions may completely revolutionize the anticipated structures and business models of the digitalization current- ly in progress, as they allow machines to autonomously share much more than just data, e.g. computing power, storage capacity or even electric power. As a result, understanding digitalization in its full capacity requires a systems approach and a new kind of higher-level thinking on the scale of a network of systems.
    Keywords: digitalization, industrial Internet, platforms, blockchain
    JEL: L14 L15 L86 L96 O33
    Date: 2015–08–13
  2. By: Francisco Lupiañez (Open Evidence); Cristiano Codagnone (Open Evidence); Rosa Dalet (Block de ideas)
    Abstract: This is the final methodological report on the project on 'ICT to support the integration into everyday life of immigrants and minorities'. The research objectives were to describe immigrants’ ICT skills, access, usage, and to explore how they differ with respect to different profiles and broad socio-economic and other personal characteristics such as integration and employability. In order to pursue these objectives, a face-to-face survey was carried out in three countries (Bulgaria, the Netherlands, Spain). A total of 1,653 third country nationals were interviewed. An ad-hoc questionnaire was designed, based on previous studies and official statistics. It was translated into ten different languages so that it covered all the nationalities from the sample. Due to the characteristics of the target group, the dissemination strategy and data collection put special emphasis on the interviewer selection and training process. Face-to-face survey procedures and specific participant recruitment strategies were developed, considering different contact points depending on the characteristics of the target. Descriptive univariate and bivariate statistical analysis as well as multivariate statistical analysis of certain aspects have been carried out. In addition, we have also re-classified the data obtained and constructed two categorical variables: ‘Profile’ that includes as its values five meaningful and homogenous migrant profiles and ‘Connected’ and ‘Non-connected’.
    Keywords: Digital single market, connected, immigrants, skills, employability, digital, competences, migration, integration, e-inclusion, digital agenda, information and communication technologies
    JEL: I00 I18
    Date: 2015–08
  3. By: Derya Findik (Science and Technology Policy Studies Program, Middle East Technical University 06800 Ankara, Turkey); Aysit Tansel (Cornell University, Ithaca, USA & Middle East Technical University, Ankara, Turkey)
    Abstract: This study examines the impact of firm resources on ICT adoption by the Turkish business enterprises using firm level data. ICT adoption is measured at three levels: The first level is technology ownership. The second level is the presence of enterprise resource planning (ERP) and customer resource management (CRM), and the third level is the use of narrowband and broadband technologies. The effects of the three main features of each technology level, which are complementarity, specificity, and the complexity, are analyzed by using firm level data in Turkey. This study has three main conclusions. As for the complementarity, firm’s resources play an important role in the adoption of technology while advancing from single technology to the multiple ones. Further, in the use of specific technologies such as ERP and CRM, firm resources generate differential effects between those technologies. Finally, the use of simple technologies does not require the same amount of firm resources as complex technologies.
    Date: 2015
  4. By: Chia-Lin Chang (National Chung Hsing University, Taichung, Taiwan); Michael McAleer (National Tsing Hua University, Taiwan; Erasmus University Rotterdam, the Netherlands, Complutense University of Madrid, Spain); Yu-Chieh Wu (National Chung Hsing University, Taichung, Taiwan)
    Abstract: Taiwan has been hailed as a world leader in the development of global innovation and industrial clusters for the past decade. This paper investigates the effects of industrial agglomeration on the use of the internet and internet intensity for Taiwan manufacturing firms, and analyses whether the relationships between industrial agglomeration and total expenditure on internet usage for industries are substitutes or complements. The sample observations are based on 153,081 manufacturing plants, and covers 26 2-digit industry categories and 358 geographical townships in Taiwan. The Heckman selection model is used to adjust for sample selectivity for unobservable data for firms that use the internet. The empirical results from two-stage estimation show that: (1) for the industry overall, a higher degree of industrial agglomeration will not affect the probability that firms will use the internet, but will affect the total expenditure on internet usage; and (2) for 2-digit industries, industrial agglomeration generally decreases the total expenditure on internet usage, which suggests that industrial agglomeration and total expenditure on internet usage are substitutes.
    Keywords: Industrial agglomeration and clusters; Global innovation; Internet penetration; Manufacturing firms; Sample selection; Incidental truncation
    JEL: D22 L60
    Date: 2015–08–17
  5. By: Hai, Le Chi; Alam Kazmi, Syed Hasnain
    Abstract: Advancements in online shopping for consumers requires consistent government support policies and the introduction of substantial government laws and regulations. In order to establish innovative developments in online shopping market environment that makes online shopping faster and stable, the government perspective is vital with the Technology Acceptance Model (TAM) for research and development in online shopping behavior for consumer’s confidence and their purchase intention. The proposed conceptual framework in the study establish that governments’ supports positively impact on perceived ease of online shopping, and positively influence consumer’s online shopping intentions. In addition, the study results are consistent to the empirical researches that focus on perceived ease of use and perceived usefulness that will affect consumer online shopping behavior.
    Keywords: government support, technology acceptance model, perceived usefulness, perceived ease of use, online shopping
    JEL: C3 H50 M1 M15 M38
    Date: 2015–08–02
  6. By: Joe Cullen (Arcola Research); Clare Cullen (Arcola Research); Emma Hamilton (Arcola Research); Greg Holloway (Arcola Research); Gigliola Paviotti (Arcola Research); Veronique Maes (Arcola Research)
    Abstract: This Report presents the final results of the study ‘ICT-enabled social innovation services for active inclusion of young people’ (IESI-Youth) which has been commissioned by the European Commission's Joint Research Centre, Institute for Prospective Technological Studies (JRC-IPTS) and implemented by Arcola Research in 2014. The overall objective of the study was to review the state of the art in the domain of active inclusion services for young people, with a specific focus on how ICTs can support active inclusion of disadvantaged youth to strengthen their skills and capacities and support them to participate fully in employment and social life. The study was conducted as preparatory activity contributing to the development of the broader research project on 'ICT enabled Social Innovation in support of the Implementation of the Social Investment Package (IESI) being implemented by JRC-IPTS in collaboration with DG Employment, Social Affairs and Inclusion (DG EMPL).
    Keywords: inclusion, young people, ICT, innovation
    JEL: I15 I24 I30 O20 O30 O31
    Date: 2015–07
  7. By: Seabold,Skipper; Coppola,Andrea
    Abstract: The objective of this study is to assess the possibility of using Internet search keyword data for forecasting price series in Central America, focusing on Costa Rica, El Salvador, and Honduras. The Internet search data comes from Google Trends. The paper introduces these data and discusses some of the challenges inherent in working with it in the context of developing countries. A new index is introduced for consumer search behavior for these countries using Google Trends data covering a two-week period during a single month. For each country, the study estimates one-step-ahead forecasts for several dozen price series for food and consumer goods categories. The study finds that the addition of the Internet search index improves forecasting over benchmark models in about 20 percent of the series. The paper discusses the reasons for the varied success and potential avenues for future research.
    Keywords: E-Business,Economic Theory&Research,Statistical&Mathematical Sciences,Information and Communication Technologies
    Date: 2015–08–19
  8. By: Liran Einav; Chiara Farronato; Jonathan Levin
    Abstract: Peer-to-peer markets such as eBay, Uber, and Airbnb allow small suppliers to compete with traditional providers of goods or services. We view the primary function of these markets as making it easy for buyers to find sellers and engage in convenient, trustworthy transactions. We discuss elements of market design that make this possible, including search and matching algorithms, pricing, and reputation systems. We then develop a simple model of how these markets enable entry by small or flexible suppliers, and the resulting impact on existing firms. Finally, we consider the regulation of peer-to-peer markets, and the economic arguments for different approaches to licensing and certification, data, and employment regulation.
    JEL: D02 L86
    Date: 2015–08

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