The Role of Digital Services Trade Restrictiveness in Exports: Before and During COVID–19; [Wpływ ograniczeń w handlu usługami cyfrowymi na eksport przed i w trakcie pandemii COVID–19]

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Sri Indah Nikensari, Shanty Oktavilla, Navik Istikomah, Nindya Farah Dwi Puspitasari

2024 Comparative Economic Research Vol. 27 Issue 1 Article Cited by 0 Quartile

Abstract

Digital technology has penetrated various fields, including international trade. This study aims to analyze how barriers/openness to trade in digital services affected exports be‑ fore the COVID–19 pandemic (2015–2016) and during the pandemic (2019–2020). Based on the Gravity model, exports seem to be influenced by digital services trade restrictiveness, in‑ cluding infrastructure and connectivity restrictions (X1), electronic transaction restrictions (X2), and other restrictions (X3). The panel data regression equation was used to analyze data from various countries (European 17 countries, Asian 8 countries, and Latin American 3 countries) sourced from OECD Statistical Data. The selection of sample countries was based on data availability and homogeneity. The results showed that the effect of digital services trade re‑ strictiveness on exports was low before the pandemic and increased during the pandemic era. Prior to the pandemic, restrictions on electronic transactions had a weak and negative impact on exports; meanwhile, during the pandemic, all restrictions impacted exports, except for other restrictions. In the pandemic era, restrictions on infrastructure & connectivity had a negative impact, but restrictions on electronic transactions had a positive impact on exports due to a de‑ cline in global exports and several countries reducing restrictions on electronic transactions. © by the author.

Affiliations

Universitas Negeri Jakarta, Jakarta, Indonesia; Universitas Negeri Semarang, Semarang, Indonesia; Universitas Pendidikan Indonesia, Bandung, Indonesia; Universitas Terbuka, Tangerang Selatan, Indonesia