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Trade in Information and Communications Technology and its Contribution to Trade and Innovation

Author

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  • Nobuo Kiriyama

    (OECD)

Abstract

Information and communications technology (ICT) has been seen as a major contributor to productivity growth and as a key tool for innovation. Trade liberalisation can play a role in encouraging ICT adoption by fostering competition and by reducing ICT prices. While the trade in ICT goods has more than doubled since the mid-1990s, the share of trade involving low and middle income countries has significantly increased, with China now being the largest trader. During the same period, tariff levels have declined thanks in part to the Information Technology Agreement (ITA), although substantial tariffs remain with respect to ICT goods not covered by the ITA and by those imposed by non-participants to the ITA. The multilateral trading system produced early successes in the ITA and the negotiations on basic telecommunications at the World Trade Organization (WTO), but the progress has since been more modest. Yet it provides opportunities to further trade liberalisation in ICT goods, both with respect to tariffs and to non-tariff issues, not least through the Doha negotiations.

Suggested Citation

  • Nobuo Kiriyama, 2011. "Trade in Information and Communications Technology and its Contribution to Trade and Innovation," OECD Trade Policy Papers 115, OECD Publishing.
    • Handle: RePEc:oec:traaab:115-en
    DOI: 10.1787/5kg9m8cqg4wj-en
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    Cited by:

    1. del Carmen Vásquez Callo Müller, María, 2014. "The regulation of trade in information and communication technology services in Chile, Colombia and Peru. A comparative analysis of the rules contained in regional trade agreements," Papers 945, World Trade Institute.
    2. Strobel, Thomas, 2016. "ICT intermediates and productivity spillovers—Evidence from German and US manufacturing sectors," Structural Change and Economic Dynamics, Elsevier, vol. 37(C), pages 147-163.

    More about this item

    Keywords

    information and communication technologies; Information Technology Agreement; multilateral trade negotiations; non-agricultural market access; WTO;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy

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