nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2018‒04‒23
five papers chosen by
Walter Frisch
Universität Wien

  1. How has Internet use changed between 2012 and 2015? By Alfonso Echazarra
  2. A New Outline of Corporate Law By Svetlana Chekhovskaya
  3. The effect of geographical distance on online transactions: Evidence from the Netherlands By Ali Palali; Bas Straathof; Rinske Windig
  4. Economics of big data: review of best papers for January 2018 By Verstappen, Ksenia
  5. Which skills for the digital era?: Returns to skills analysis By Robert Grundke; Luca Marcolin; The Linh Bao Nguyen; Mariagrazia Squicciarini

  1. By: Alfonso Echazarra
    Abstract: In the growing world of digital technology everything is about speed: computer processors have doubled their performance every two years for decades; the future 5G mobile phone generation is predicted to be about 100 times faster than the current 4G and 20 000 times faster than the “ancient” 3G; and, according to the International Telecommunication Union, the share of the world population using the Internet increased from 34% to 48% in just the past five years. Is this digital revolution changing adolescents’ lives at the same frenzied rate? Are 15-year-olds more and more connected to the Internet? And are these changes closing the digital divide?
    Date: 2018–04–16
  2. By: Svetlana Chekhovskaya (National Research University Higher School of Economics)
    Abstract: This paper continues to investigate legal corporate governance issues. Over the last decade few topics in corporate law have proven as alluring and as elusive as the connection between information technologies (IT), corporate governance (CG) and corporate law. The dynamics of the development of modern law are determined by many factors, one of which is the rapid involvement of IT in all spheres of life. Everything in physical life can become a digital sign. We are in the era of successful "small" firms whose business models are built on a combination of software platforms, telecommunications technology and commercial transactions conducted "outside the firm". IT allows them to remotely carry out various business transactions, including corporate actions, providing participation in the governance of the corporation. The term IT covers a large array of electronic vehicles from software to artificial intelligence. Due to technological development, IT has quickly entered corporate governance structures in a large number of corporations. Some scholars argue that artificial intelligence will also be the new reality of corporate life in the very near future. Several questions are raised in connection with this. For example, do current laws need any changes? What are the prerequisites for modern corporate law. There has been a progressive revision of the fundamentals of corporate law over the last few decades, considering that key provisions of corporate law were created during and after the industrial revolution. I explore two paths of legal research in CG and corporate law: using IT for CG procedures, and an adjustment of CG rules for e-corporations. In addition the question is raised whether a virtual corporation has to have a corporate structure similar to the structure of a modern corporation. This new outline of corporate law is a new understanding of current corporate law.
    Keywords: corporate law, corporate governance, corporate e-governance, blockchain, decentralized autonomous organization (DAO)
    JEL: K29
    Date: 2018
  3. By: Ali Palali (CPB Netherlands Bureau for Economic Policy Analysis); Bas Straathof (CPB Netherlands Bureau for Economic Policy Analysis); Rinske Windig (CPB Netherlands Bureau for Economic Policy Analysis)
    Abstract: The rise of online trade alters the role of distance between (potential) buyers and sellers. We use data from eBay subsidiary, one of the largest online trading platforms in the Netherlands, to estimate how distance affects the probability of a transaction between small geographical regions. We find that distance negatively and modestly affects the probability of having a transaction between two regions, and that the distribution of this probability is highly skewed: ranging from a change of 0.000 to -0.008 percentage points per marginal kilometer. The unconditional probability of a transaction is 27 percent. Distance is less influential for: advertisements with more photos advertisements placed by high-frequency advertisers for new goods in comparison to second hand goods. This suggests that information frictions might be the driving force behind the distance effect on online trade in the Netherlands.
    JEL: D44 R12
    Date: 2017–10
  4. By: Verstappen, Ksenia
    Abstract: Hundreds of new papers on big data are released every month and at times it is difficult to distinguish between them in terms of quality and practical use. The purpose of this monthly review is to highlight the findings in the most relevant papers in Economics of big data to help readers identify the most important new developments in the field. The review for January 2018 includes a study of social networks in truancy, a paper on consumer privacy and data collection and three NBER papers on applications of Artificial Intelligence in Economics.
    Keywords: big data in economics, literature review
    JEL: C80
    Date: 2018–02
  5. By: Robert Grundke (OECD); Luca Marcolin (OECD); The Linh Bao Nguyen (Bocconi University); Mariagrazia Squicciarini (OECD)
    Abstract: This paper sheds light on the extent to which different types of skills are rewarded as industries go digital. It relies on information from the OECD Survey of Adult Skills on labour market participation and workers’ skills for 31 countries as well as on a novel OECD index on the digital penetration of industries. It investigates how cognitive and non-cognitive skills are rewarded in digital vs. less digital intensive industries and assesses the extent to which skills bundles matter. The results indicate that digital intensive industries especially reward workers having relatively higher levels of self-organisation and advanced numeracy skills. Moreover, for workers in digital intensive industries, bundles of skills are particularly important: workers endowed with a high level of numeracy skills receive an additional wage premium, if they also show high levels of self-organisation or managing and communication skills.
    Date: 2018–04–23

This nep-ict issue is ©2018 by Walter Frisch. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.