How does digital technology affect export in services?

Nan Kong, Bingjie Wang, Yan Zhang and Nianli Zhou

Journal of Asian Economics, 2024, vol. 95, issue C

Abstract: Based on the comprehensive measures of digital technology and cross-country services trade database, our study empirically examines the impacts of digital technology on export in services. We find that digital technology significantly promotes services export. However, the impact varies in different modes of supply. Digital technology significantly promotes service export in the mode of cross border delivery, consumption abroad, and commercial presence rather than the mode of the natural person movement. Heterogeneous analysis shows that the trade impact of digital technology is more pronounced in developed countries and the countries with higher levels of digital openness. Based on both the empirical analysis and the case studies, three main channels of the enhancement of tradability, the function of digital platforms, and innovation of new trade models are discussed for the influencing mechanisms of digital technology.

Keywords: Digital technology; Export in services; Trade mode (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:eee:asieco:v:95:y:2024:i:c:s104900782400109x

DOI: 10.1016/j.asieco.2024.101814

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