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Digital economy in the UK: regional productivity effects of early adoption

Author

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  • Emmanouil Tranos
  • Tasos Kitsos
  • Raquel Ortega-Argilés

Abstract

Whilst the importance of internet-related technologies and digitization practices to economic performance is well documented, little is known about the long-term effects of the early adoption of such technologies. We use novel, geolocated data about the volume of online content from the Internet Archive to approximate the active engagement with digital economic activities. Using panel-data methods, we find significant positive and long-lasting effects of online content creation in 2000 on subsequent regional productivity levels up to 16 years later. Our findings highlight the sizeable effects of the digital economy that policy-makers should consider when developing future rollout strategies.

Suggested Citation

  • Emmanouil Tranos & Tasos Kitsos & Raquel Ortega-Argilés, 2021. "Digital economy in the UK: regional productivity effects of early adoption," Regional Studies, Taylor & Francis Journals, vol. 55(12), pages 1924-1938, December.
    • Handle: RePEc:taf:regstd:v:55:y:2021:i:12:p:1924-1938
    DOI: 10.1080/00343404.2020.1826420
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    Cited by:

    1. Zhang, Bing-bing & Wang, Yuan & Chen, Yue & Zhou, Junting, 2024. "Digital transformation by firms and the cleanliness of China's export products," Energy Economics, Elsevier, vol. 134(C).
    2. Suo, Xuekun & Zhang, Longting & Guo, Rong & Lin, Han & Yu, Mingchuan & Du, Xiuhong, 2024. "The inverted U-shaped association between digital economy and corporate total factor productivity: A knowledge-based perspective," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    3. Tranos, Emmanouil & Incera, Andre Carrascal & Willis, George, 2022. "Using the web to predict regional trade flows: data extraction, modelling, and validation," OSF Preprints 9bu5z, Center for Open Science.
    4. Zhang, Kai & Cao, Bin & Guo, Ziyu & Li, Rong & Li, Lianqing, 2024. "Research on the impact of government attention on the digital economy of Chinese provinces," Innovation and Green Development, Elsevier, vol. 3(2).
    5. Jihad Ait Soussane & Zahra Mansouri, 2023. "The effect of competition policy on FDI location decision: an empirical investigation using data on inward FDI in 38 countries," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 50(2), pages 243-263, June.
    6. Xuliang Zhang & Chenxiang Elaine Ji & Haixia Zhang & Yuchen Wei & Jianwei Jin, 2023. "On the Role of the Digital Industry in Reshaping Urban Economic Structure: the Case of Hangzhou, China," Journal of Economic Analysis, Anser Press, vol. 2(4), pages 123-139, July.
    7. Stefan Apostol & Eduardo Hernández-Rodríguez, 2023. "Digitalisation in European regions: Unravelling the impact of relatedness and complexity on digital technology adoption and productivity growth," Papers in Evolutionary Economic Geography (PEEG) 2317, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Aug 2023.
    8. Chen, Yulong & Ma, Liyuan & Orazem, Peter F., 2023. "The heterogeneous role of broadband access on establishment entry and exit by sector and urban and rural markets," Telecommunications Policy, Elsevier, vol. 47(3).
    9. Xiaoli Hao & Xinhui Wang & Haitao Wu & Yu Hao, 2023. "Path to sustainable development: Does digital economy matter in manufacturing green total factor productivity?," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(1), pages 360-378, February.
    10. Shuming Ren & Lianqing Li & Yueqi Han & Yu Hao & Haitao Wu, 2022. "The emerging driving force of inclusive green growth: Does digital economy agglomeration work?," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1656-1678, May.
    11. Yanwei Lyu & Yahui Ge & Jinning Zhang, 2023. "The impact of digital economy on capital misallocation: evidence from China," Economic Change and Restructuring, Springer, vol. 56(5), pages 3475-3499, October.
    12. Haisen Wang & Gangqiang Yang & Ziyang Yue, 2023. "Breaking through ingrained beliefs: revisiting the impact of the digital economy on carbon emissions," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-13, December.
    13. Chuanyu Zhao & Zhongquan Liu & Xianfeng Yan, 2023. "Does the Digital Economy Increase Green TFP in Cities?," IJERPH, MDPI, vol. 20(2), pages 1-22, January.
    14. Lee, Chien-Chiang & He, Zhi-Wen & Yuan, Zihao, 2023. "A pathway to sustainable development: Digitization and green productivity," Energy Economics, Elsevier, vol. 124(C).

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