RESEARCH AND ANALYSIS: WORKING PAPERS

Understanding trade in digitized ideas — what are the statistical challenges?

Advances in information and communications technologies (ICTs) and new business models have widened opportunities for trade in digitized ideas, shaping global value chains and production networks in cultural or creative goods and services. 

However, much of this trade has eluded conventional categorization and new business models. In particular multinational firms have blurred the way international transactions can be recorded and how this can be transformed into relevant statistics for policy makers, research and for businesses themselves. Recent international statistical guidelines have suggested a number of improvements to better respond to policy information needs, including in the area of trade, innovation or culture. However, a number of questions remain unanswered. The objective of the paper is therefore to trace the conceptual and empirical statistical picture and assess the quality of existing statistics and the extent to which important trade in digitized ideas is inadequately measured. It discusses conceptual issues, and constraints encountered in gaining a full picture. A number of possible data collection and compilation solutions are suggested to enable a better understanding of this trade.

 

No: ERSD-2016-11

Authors: Joscelyn Magdeleine and Andreas Maurer, WTO Secretariat

Manuscript date: July 2016

Key Words:

Trade, International, Ideas, Culture, Statistics, Digitization 

JEL classification numbers:

C82, F14, F23, L23, L81, L82, L86, Z1

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Disclaimer 

This is a working paper, and hence it represents research in progress. The opinions expressed in this paper are those of its author. They are not intended to represent the positions or opinions of the WTO or its members and are without prejudice to members' rights and obligations under the WTO. Any errors are attributable to the author.

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