INDICATORS AND IMPACTS OF DIGITALIZATION

Abstract

Digitalization transforms how individuals interacting personally and socially at a larger scale and also the changes taken place in basic structure and business models of the economy. In this paper, I have tried to analyses how digitalization raised important policy changes; including privacy, security, consumer policy, competition, innovation, jobs and skills, among others. Not addressing the above said issues can lead to major economic inefficiencies, reactionary policies, increasing inequality and worse effect in the form of erosion of social fabric, as well as slower growth. Main indicators of digitalization are digital infrastructure, access to and use of digital technologies and services, innovation in the digital economy, skill needed to participate in the digital economy, trust in the digital economy etc.   I have used secondary data available from various sources like relevant journals, research papers and some websites etc.  It  is recommended that,  for digitalization, it is necessary to ensure more access to digital technology and services, to setup supportive digital infrastructure by developing high speed networks and  services, financing new and innovative business models resulting from digital technology adoption, develop standards for a digital world,  regulatory approaches for the ICT sector that are adopted to a converged environment. Digital security, special skills for digital economy, start ups, consumer rights and legal framework are also very important aspects to be taken care of.