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298 WORLD DEVELOPMENT REPORT 2016 Box 6.2 European Union: A fragmented market for digital products (continued) Figure B6.2.1 Perceived barriers to buying over the internet in 2009 percent of individuals responding 30 Percent 25 20 15 10 5 0 35 30 25 Ireland Czech Republic Denmark United Kingdom Serbia Turkey Norway Macedonia, FYR Bulgaria Source: Eurostat. Data at http://bit.do/WDR2016-FigB6_2_1. Figure B6.2.2 Obstacles for enterprises not selling online in 2013 percent of enterprises responding Croatia Poland Greece Malta Iceland Italy Netherlands Belgium Germany Austria Slovak Republic Sweden Lithuania Romania Luxembourg Cyprus Finland Estonia Portugal Latvia France Spain Slovenia Hungary Concerns about payment security Concerns about receiving or returning goods, complaints and redress Percent 20 15 10 5 0 Italy Finland France Austria Latvia Norway Hungary Luxembourg Slovenia Czech Republic Poland Germany Macedonia, FYR Legal framework Source: Eurostat. Data at http://bit.do/WDR2016-FigB6_2_2. Belgium Lithuania Croatia Netherlands Malta United Kingdom Sweden Cyprus Spain Cost greater than benefits Iceland Romania Ireland Greece Portugal Bulgaria Estonia a. European Commission (EC) (2015). b. Figures given by Andrus Ansip, the European Commission vice president for the digital single market. See http://www.politico.eu /article /cross-border-delivery-costs-pose-problems-for-small-businesses/.
Percent Percent GLOBAL COOPERATION 299 raising standards of living. Barriers to data flows prevent countries from benefiting fully from the internet, increasing costs and inefficiencies for firms and individuals. Firms require free flows of data across national borders to operate internationally. This is increasingly important with production being fragmented into global value chains and the digitization of goods and services. Firms move data internationally to control and coordinate their international opera- tions, maintain an efficient supply chain, and manage human resources, production, and sales. The data can range from personal information about employees and customers to production and technical data. The emerging use of cloud computing and the “internet of things” (see spotlight 6, “Six digital technologies to watch”) will increase the need for freer data flows. In a survey of U.S. firms in 2012, a large share of firms felt that data localization requirements and privacy Figure 6.3 Perception of U.S. firms on barriers to data flows as obstacles to trade, 2012 percent of firms responding 90 80 70 60 50 a. Requirements to locate data servers in-country 40 30 20 10 0 Large SME Large SME Large SME Large SME Large SME Large SME Large SME Content Digital communications Finance Manufacturing Retail Other services Wholesale 90 b. Barriers to sharing information across borders 80 70 60 50 40 30 20 10 0 Large SME Large SME Large SME Large SME Large SME Large SME Large SME Content Digital communications Finance Manufacturing Retail Other services Wholesale Minor obstacle Substantial obstacle Source: USITC 2014. Data at http://bit.do/WDR2016-Fig6_3. Note: Large firms are classified as firms with more than 500 employees. SMEs (small and medium enterprises) are firms with more than 20 employees and less than 500 employees.
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A World Bank Group Flagship Report
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Contents xiii xv xix Foreword Ackno
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CONTENTS vii Boxes O.1 5 Frequently
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CONTENTS ix O.24 35 Digital safegua
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CONTENTS xi B3.8.1 178 Autocratic g
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Foreword We find ourselves in the m
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Acknowledgments This Report was pre
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ACKNOWLEDGMENTS xvii Karl Chua, Mas
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xx ABBREVIATIONS GDP GIS GNI GPS GS
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xxii ABBREVIATIONS BFA Burkina Faso
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Inclusion Efficiency Innovation
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OVERVIEW 3 Figure O.1 Digital techn
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OVERVIEW 5 Box O.1 Frequently asked
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OVERVIEW 7 Map O.1 The internet is
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OVERVIEW 9 Figure O.6 The digital d
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OVERVIEW 11 This mechanism operates
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OVERVIEW 13 Figure O.10 The size of
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OVERVIEW 15 Box O.3 Bridging the di
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OVERVIEW 17 sector is thus challeng
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OVERVIEW 19 skills that help them b
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OVERVIEW 21 Figure O.15 Labor share
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OVERVIEW 23 Figure O.18 From a tech
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OVERVIEW 25 governments and citizen
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OVERVIEW 27 Box O.6 Nailing Jell-O
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OVERVIEW 29 as well as higher secur
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OVERVIEW 31 Figure O.22 Policy prio
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OVERVIEW 33 Figure O.23 The types o
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OVERVIEW 35 Box O.12 Can continuous
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OVERVIEW 37 Box O.13 European Union
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OVERVIEW 39 29. Data for 2014 of ne
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OVERVIEW 41 OECD (Organisation for
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HOW THE INTERNET PROMOTES DEVELOPME
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ACCELERATING GROWTH 51 varies with
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ACCELERATING GROWTH 53 Map 1.1 Many
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ACCELERATING GROWTH 55 Figure 1.6 L
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ACCELERATING GROWTH 57 Figure 1.7 I
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ACCELERATING GROWTH 59 Box 1.3 Is t
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ACCELERATING GROWTH 61 Map 1.2 Chin
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ACCELERATING GROWTH 63 Box 1.5 The
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ACCELERATING GROWTH 65 is selling c
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ACCELERATING GROWTH 67 goods tradin
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ACCELERATING GROWTH 69 competition
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ACCELERATING GROWTH 71 it to manage
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ACCELERATING GROWTH 73 Domestic mob
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ACCELERATING GROWTH 77 together wit
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ACCELERATING GROWTH 79 Figure 1.22
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ACCELERATING GROWTH 81 regulatory b
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ACCELERATING GROWTH 83 fixed effect
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ACCELERATING GROWTH 85 71. Cirera,
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ACCELERATING GROWTH 87 Economic Per
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ACCELERATING GROWTH 89 Washington,
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AGRICULTURE 91 Figure F1.1 Introduc
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CHAPTER 2 Expanding opportunities D
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CHAPTER 3 Delivering services Have
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e-HEALTH 191 Figure F3.1 Sequencing
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4. Sectoral policies 5. National pr
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SECTORAL POLICIES 201 Box 4.1 Polic
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SECTORAL POLICIES 205 is independen
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SECTORAL POLICIES 207 Box 4.3 Fragi
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SECTORAL POLICIES 209 role for the
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SECTORAL POLICIES 211 subscriptions
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SECTORAL POLICIES 213 Box 4.5 The l
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SECTORAL POLICIES 215 Box 4.6 Guate
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SECTORAL POLICIES 217 Figure 4.1 Pr
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SECTORAL POLICIES 219 Box 4.7 How b
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SECTORAL POLICIES 221 mandating tha
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SECTORAL POLICIES 223 the internet
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SECTORAL POLICIES 225 Protecting pe
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SECTORAL POLICIES 227 grown since t
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SECTORAL POLICIES 229 Box 4.9 Tech
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SECTORAL POLICIES 231 Box 4.10 Isra
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SECTORAL POLICIES 233 US$74 million
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SECTORAL POLICIES 235 has been clas
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SECTORAL POLICIES 237 Kende, Michae
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242 WORLD DEVELOPMENT REPORT 2016 i
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THE DATA REVOLUTION 245 Figure S5.1
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