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© 2016 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW, Washington DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org Some rights reserved 1 2 3 4 19 18 17 16 This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved. Rights and Permissions This work is available under the Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO) http://creativecommons.org /licenses/by/3.0/igo. Under the Creative Commons Attribution license, you are free to copy, distribute, transmit, and adapt this work, including for commercial purposes, under the following conditions: Attribution—Please cite the work as follows: World Bank. 2016. World Development Report 2016: Digital Dividends. Washington, DC: World Bank. doi:10.1596/978-1-4648-0671-1. License: Creative Commons Attribution CC BY 3.0 IGO Translations—If you create a translation of this work, please add the following disclaimer along with the attribution: This translation was not created by The World Bank and should not be considered an official World Bank translation. The World Bank shall not be liable for any content or error in this translation. Adaptations—If you create an adaptation of this work, please add the following disclaimer along with the attribution: This is an adaptation of an original work by The World Bank. Views and opinions expressed in the adaptation are the sole responsibility of the author or authors of the adaptation and are not endorsed by The World Bank. Third-party content—The World Bank does not necessarily own each component of the content contained within the work. The World Bank therefore does not warrant that the use of any third-party-owned individual component or part contained in the work will not infringe on the rights of those third parties. The risk of claims resulting from such infringement rests solely with you. If you wish to re-use a component of the work, it is your responsibility to determine whether permission is needed for that re-use and to obtain permission from the copyright owner. Examples of components can include, but are not limited to, tables, figures, or images. All queries on rights and licenses should be addressed to the Publishing and Knowledge Division, The World Bank, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@worldbank.org. ISSN, ISBN, e-ISBN, and DOI: Softcover ISSN: 0163-5085 ISBN: 978-1-4648-0671-1 e-ISBN: 978-1-4648-0672-8 DOI: 10.1596/978-1-4648-0671-1 Hardcover ISSN: 0163-5085 ISBN: 978-1-4648-0728-2 DOI: 10.1596/978-1-4648-0728-2 Interior design: Reboot (www.reboot.org), New York, New York, and George Kokkinidis, Design Language, Brooklyn, New York Cover photo: This 2013 World Press Photo of the Year shows migrants crowding the night shore of Djibouti City in an attempt to capture inexpensive cellphone signals from neighboring Somalia. © John Stanmeyer/National Geographic Creative. Used with the permission of John Stanmeyer/National Geographic Creative. Further permission required for reuse. Library of Congress Cataloging-in-Publication data has been requested.
Contents xiii xv xix Foreword Acknowledgments Abbreviations 1 Overview: Strengthening the analog foundation of the digital revolution 5 Digital transformations—digital divides 8 How the internet promotes development 11 The dividends: Growth, jobs, and service delivery 18 The risks: Concentration, inequality, and control 25 Making the internet universal, affordable, open, and safe 29 Analog complements for a digital economy 36 Global cooperation to solve global problems 38 Reaping digital dividends for everyone 38 Notes 39 References 42 Spotlight 1: How the internet promotes development 49 Part 1: Facts and analysis 50 Chapter 1: Accelerating growth 51 Connected businesses 55 More trade, higher productivity, and greater competition 70 Digital technologies can lead firms and countries to diverge 73 The nexus of technology and regulation 80 The future of markets 82 Notes 85 References 90 Sector focus 1: Agriculture 94 Spotlight 2: Digital finance 100 Chapter 2: Expanding opportunities 101 Connected people 104 Creating jobs, boosting labor productivity, and benefiting consumers 118 Labor market polarization can lead to greater inequality 120 The race between skills and technology v
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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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D
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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 75 invest subst
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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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94 WORLD DEVELOPMENT REPORT 2016 EN
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96 WORLD DEVELOPMENT REPORT 2016 SP
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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 203 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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THE DATA REVOLUTION 247 A journalis
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NATIONAL PRIORITIES 249 • Rising
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NATIONAL PRIORITIES 251 schools, ho
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NATIONAL PRIORITIES 253 Figure 5.3
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NATIONAL PRIORITIES 255 requiring f
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NATIONAL PRIORITIES 257 around the
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NATIONAL PRIORITIES 261 Box 5.3 The
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NATIONAL PRIORITIES 263 Box 5.5 Kha
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NATIONAL PRIORITIES 265 Box 5.7 Eme
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NATIONAL PRIORITIES 267 Box 5.8 Bui
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NATIONAL PRIORITIES 269 Box 5.9 Bui
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NATIONAL PRIORITIES 271 • Explore
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NATIONAL PRIORITIES 275 identify gh
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NATIONAL PRIORITIES 277 Table 5.7 T
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NATIONAL PRIORITIES 279 Box 5.13 Es
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NATIONAL PRIORITIES 281 experiences
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NATIONAL PRIORITIES 283 dence.” N
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NATIONAL PRIORITIES 285 Kremer, Mic
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CHAPTER 6 Global cooperation Data,
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ENVIRONMENTAL MANAGEMENT 323 Map F6
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