MATHILDE AUBOUIN
Jeunes docteurs et ATER
2024-20
The Macroeconomics of Free Digital Services
Mathilde Aubouin, Lionel Ragot
- Abstract
- Digital technology has enabled the rise of free digital services financed by advertising. These services are increasingly popular and enable a few digital firms to generate significant revenue, although GDP does not directly consider them. This paper presents a growth model with digital services providers collecting household data in exchange for their services, which are used to sell targeted advertising to traditional firms. It enables us to study the impacts of this sector on key macroeconomic aggregates and welfare within the American context. Our results highlight that enhanced activity among large providers (new entry, greater efficiency in producing service quality or advertising) positively impacts the economy. Data collection enables small providers to compete with large ones, which benefit from greater user attention. Household preferences, such as sensitivity to privacy, also play a role, potentially hindering the free digital services sector’s economic impact.
- Mot(s) clé(s)
- Economic growth; Digital economy; Data economy; Privacy; Advertising
2022-22
Determinants of the Digital Divide: Evidence from France
Mathilde Aubouin
- Abstract
- The COVID-19 crisis accelerated the digital transition and reinforced households' existing digital divide. This paper aims to identify determinants of digital inequalities in access, usage, and type of usage in France and the reasons for the non-access to the internet. Using French Institute of Statistics (INSEE) surveys between 2007 and 2019, we show that generation, education, and income are significant determinants of digital consumption. The gender digital gap exists only among older generations. The digital divide is mainly a problem of internet access in France. Disparities in usage narrow once an individual has access to and uses the internet. Based on our results, we recommend investing in digital education and implementing financial support to reduce the digital divide.
- Mot(s) clé(s)
- Digital Divide; Internet use; Internet access; Pseudo-panel methods; France
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