{"id":198521,"date":"2022-08-03T18:12:07","date_gmt":"2022-08-03T12:42:07","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=198521"},"modified":"2022-08-03T18:14:02","modified_gmt":"2022-08-03T12:44:02","slug":"digital-india-is-well-positioned-to-make-the-most-of-globalization","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/digital-india-is-well-positioned-to-make-the-most-of-globalization\/","title":{"rendered":"Digital India is well positioned to make the most of globalization"},"content":{"rendered":"\n

Source:<\/strong> The post is based on the article \u201cDigital India is well positioned to make the most of globalization\u201d<\/strong> published in the Live Mint<\/strong> on 3rd<\/sup> August 2022.<\/p>\n

Syllabus: GS 3 – <\/strong>Indian Economy and issues relating to planning, Mobilization of Resources, Growth, Development, and Employment; Effects of Liberalization on the Economy, Changes in Industrial Policy and their Effects on Industrial Growth.<\/p>\n

News: <\/strong>According to the United Nations Conference on Trade and Development (UNCTAD) report, internet traffic\/ information flows in 2022 will exceed all the internet traffic up to 2016, in this globalized world.<\/p>\n

About the Globalization<\/strong><\/h5>\n

Jeffrey D. Sachs, in his book The Ages of Globalization, presents seven distinct ages of <\/strong>globalization since pre-historical times. These were driven by the interplay of geography, technology, and institutions.<\/p>\n

Economic progress and globalization have undergone three industrial revolutions,<\/strong> and Industrialization 4.0 <\/strong>is currently underway.<\/p>\n

(1) First Industrial Revolution: <\/strong>It started in the 19th century with the use of steam and coal which resulted in mechanization<\/strong>, which contributed to lowering the cost of transport across the world.<\/p>\n

(2) Second IR:<\/strong> This time the use of electricity and railroads started. It complemented the mass production. Thus, trade and commerce expanded manifold.<\/p>\n

(3) Third phase:<\/strong> It was marked by the advent of computers and the emergence of low-cost manufacturing and global supply chains.<\/p>\n

(4) Fourth revolution<\/strong>:\u00a0The present age of globalization, known as Digital Globalization<\/strong>, commenced in 2000. It is described as the Digital Age<\/strong>.<\/p>\n

It rides on digital technology,<\/strong> which is set to disrupt almost every industry in every country. Digital economies, in turn, run on the new fuel known as data. <\/strong>Data is a new resource or new oil of the 21st<\/sup> century.<\/p>\n

How digitization is changing the economics of globalization? <\/strong><\/h5>\n

The digital platforms are driving down the cost of cross-border communications <\/strong>and transactions<\/strong>.<\/p>\n

It enabled small businesses and entrepreneurs<\/strong> like MSMEs, around the world, to participate in global trade through Global Value Chains (GVCs).<\/p>\n

Issues and Challenges in the digital globalization <\/strong><\/p>\n

This age of digital globalization is characterized by large imbalances, digital divides<\/strong> between haves and have-nots, and other development challenges.<\/p>\n

(1) There are technical<\/strong> and infrastructural challenges<\/strong> that prevent developing countries from using the digital economy as a potential growth engine.<\/p>\n

(2) More than 20% of the population in the developing world does not have access to a mobile broadband network.\u00a0Further, the internet speeds<\/strong> are about 8 times lower in these developing countries.<\/p>\n

(3) According to the United Nations Conference on Trade and Development\u2019s (UNCTAD) Digital Economy Report, 2021<\/strong>, there is a huge digital divide<\/strong> in terms of digital readiness between various countries. For example, the US and China are front-runners in harnessing data. They have 50% of the world\u2019s hyper-scale data centers, the world\u2019s highest rates of 5G adoption,<\/strong> 70% of the world\u2019s top artificial intelligence (AI) researchers, and 94% of all funding for AI start-ups.<\/p>\n

(4) Both the US and China make up about 90% of the market capitalization<\/strong> of the world\u2019s largest digital platforms. Further, these platforms increasingly control all stages of global data value chains.<\/p>\n

(5) Most developing countries will find it difficult to transform their economies through digitization. These countries risk being left on the periphery of an evolving globalization paradigm.<\/p>\n

(6) There is a challenge in regulating data\/information flows and setting up rules so that all participants prosper.<\/p>\n

Measures Taken for Digital India to transform India into a digitally empowered economy:<\/strong><\/h5>\n

(1) We have a stable and secure digital infrastructure provided by Aadhaar, CERT-In, etc;<\/p>\n

(2) The government digitally delivers government services through the Agrimarket App, Bhim, Digital AIIMS, etc.; and<\/p>\n

(3) The government has launched schemes for universal digital literacy,<\/strong> accessible digital resources, and collaborative digital platforms for participative governance to help narrow the digital divide in India.<\/p>\n","protected":false},"excerpt":{"rendered":"

Source: The post is based on the article \u201cDigital India is well positioned to make the most of globalization\u201d published in the Live Mint on 3rd August 2022. Syllabus: GS 3 – Indian Economy and issues relating to planning, Mobilization of Resources, Growth, Development, and Employment; Effects of Liberalization on the Economy, Changes in Industrial… Continue reading Digital India is well positioned to make the most of globalization<\/span><\/a><\/p>\n","protected":false},"author":10343,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[216,10501],"class_list":["post-198521","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-gs-paper-3","tag-live-mint","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1700276112},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/198521","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10343"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=198521"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/198521\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=198521"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=198521"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=198521"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}