Discussion with 300+ words and References

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Digital Trade

(A slight deviation from the syllabus)

OVERVIEW

What is Digital Trade?

Current State of Digital Trade

Incentives for and Barriers to Digital Trade

Discussion Question

Conclusion

WHAT IS DIGITAL TRADE?

According to the Congressional Rearch Service (link in speaker notes):

– Digital trade includes end-products, such as downloaded movies, and products and services that

rely on or facilitate digital trade, such as

productivity-enhancing tools like cloud data storage and

email.

Not just content and software, also infrastructure products

Increasing relative to merchandise and financial services

WHAT IS DIGITAL TRADE? (cont.)

Use this diagram for your discussion question response

CURRENT STATE OF DIGITAL TRADE

Global digital content (video games, video, music, and e-publishing) revenue grew to nearly $90 billion in 2016, with video games making up nearly 55 percent of the total

Video Games lead the content arena

US, Taiwan and South Korea are lead hardware producers

For example, YouTube and Neflix comprise over 25% Internet traffic

Google sells more ads than any company

INCENTIVES AND BARRIERS

Incentives

Near-term: Profit

Long-term: Growth

Barriers

Internet Access

Government Policy

Culture