Multidimensional Connectivity : Benefits, Risks, and Policy Implications for Europe and Central Asia

Gould, David ; Kenett, Dror Y. ; Panterov, Georgi

World Bank, Washington, DC

关键词: ECONOMIC GROWTH;    CONNECTIVITY;    TRADE;    GLOBALIZATION;    NETWORKS;   

DOI  :  10.1596/1813-9450-8438
RP-ID  :  WPS8438

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

International connections through trade,foreign direct investment, migration, the Internet, andother channels are critical for the transmission ofknowledge and growth and form macroeconomic linkages. Buthow much knowledge is transmitted to a country is not onlythe result of the overall level of connectivity, but also towhom a country is connected, as well as how theseconnections complement each other. For example, beingwell-connected to an economy with wide-reaching globalconnections is likely to be a stronger conduit for knowledgetransfers than being connected to an isolated economy.Likewise, connections are likely to complement each other.For example, ecommerce is often seen as a benefit ofInternet connectivity, but without transport connectivity,ecommerce may not amount to much. This wider definition ofconnectivity, referred to as multidimensional connectivity,is broadened and explored in this study as it applies toEurope and Central Asia. Focusing on countries from theEurope and Central Asia region, the paper shows thatmultidimensional connectivity is an economically andstatistically important determinant of future economicgrowth. The paper further discusses the potential risks andtransfer of shocks that can result from cross-countryeconomic connectivity. Furthermore, it provides someexamples of how policy tools can be designed to leverage thebenefits of connectivity channels and mitigate their risks.